Colby Company's Income Statement reported interest expense of $27,000, income tax expense of $65,000, and net income of $400,000. What is the times-interest-earned ratio? Round the final answer to two decimal places. OA. 17.22 times OB. 16.22 times C. 15.81 times OD. 18.22 times

Colby Company's Income Statement reported interest expense of $27,000, income tax expense of $65,000, and net income of $400,000. What is the times-interest-earned ratio? Round the final answer to two decimal places. OA. 17.22 times OB. 16.22 times C. 15.81 times OD. 18.22 times

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter15: Financial Statement Analysis

Section: Chapter Questions

Problem 50E: Juroe Company provided the following income statement for last year: Juroes balance sheet as of...

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Colby Company's Income Statement reported interest expense of $27,000, income tax expense of $65,000, and net income of $400,000. What is the times - interest - earned ratio? Round
the final answer to two decimal places.
OA. 17.22 times
OB. 16.22 times
OC. 15.81 times
D. 18.22 times

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