4. Atlas Co sales last year were $4,350, its operating costs were $3,625,5 pand its interest charges were $125. What was the firm's times-interest-earned (TIE) ratio? *O a) 4.7O b) 4.9O c) 5.2d) 5.8O e) None of the above5. Royal Corp's sales last year were $560,000, and its net income was$46,000. What was its profit margin? *

earnings before interest and taxes= (Sales - operating cost)

4. Atlas Co sales last year were $4,350, its operating costs were $3,625, and its interest charges were $125. What was the firm's times-interest- earned (TIE) ratio? * О a) 4.7 O b) 4.9 O c) 5.2 O d) 5.8 e) None of the above

4. Atlas Co sales last year were $4,350, its operating costs were $3,625, and its interest charges were $125. What was the firm's times-interest- earned (TIE) ratio? * О a) 4.7 O b) 4.9 O c) 5.2 O d) 5.8 e) None of the above

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter5: The Income Statement And The Statement Of Cash Flows

Section: Chapter Questions

Problem 1RE: Brandt Corporation had sales revenue of 500,000 for the current year. For the year, its cost of...

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100%

4. Atlas Co sales last year were $4,350, its operating costs were $3,625,
5 p
and its interest charges were $125. What was the firm's times-interest-
earned (TIE) ratio? *
O a) 4.7
O b) 4.9
O c) 5.2
d) 5.8
O e) None of the above
5. Royal Corp's sales last year were $560,000, and its net income was
$46,000. What was its profit margin? *

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