The times-interest-earned ratio is 6.25 for Retailer A and 5.1 for Retailer B. This indicates that Retailer B wil find it easier to pay interest expense,O TrueOFalse

Times-Interest Earned Ratio is used by debt providers to assess entity’s ability to make interest…

Answered: The times-interest-eamed ratio is 0.25…

The times-interest-eamed ratio is 0.25 for Retailer A and 6.1 for Retaler B. This indicates that Retaler B wil find it easier to pay interest oxpense, O True O False

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter6: Merchandising Transactions

Section: Chapter Questions

Problem 19Q: The following is select account information for Sunrise Motors. Sales: $256,400; Sales Returns and...

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The times-interest-earned ratio is 6.25 for Retailer A and 5.1 for Retailer B. This indicates that Retailer B wil find it easier to pay interest expense,
O True
OFalse

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