Which one of the following statements is correct?

	a.	Long-term creditors would prefer the times interest earned ratio be 1.4 rather than 1.5.
	b.	The debt-equity ratio can be computed as 1 plus the equity multiplier.
	c.	An equity multiplier of 1.2 means a firm has $1.20 in sales for every $1 in equity.
	d.	An increase in the depreciation expense will not affect the cash coverage ratio.