Thomson Trucking has $9 billion in assets, and its tax rate is 25%. Its basic earning power (BEP) ratio is 16%, and its return on assets (ROA) is 6.25%. What is its times-interest-earned (TIE) ratio? Round the answer to two decimal places.

Thomson Trucking has $9 billion in assets, and its tax rate is 25%. Its basic earning power (BEP) ratio is 16%, and its return on assets (ROA) is 6.25%. What is its times-interest-earned (TIE) ratio? Round the answer to two decimal places.

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter7: Analysis Of Financial Statements

Section: Chapter Questions

Problem 2P: Vigo Vacations has $200 million in total assets, $5 million in notes payable, and $25 million in...

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Need help of Accounting Expert

Thomson Trucking has $9 billion in assets, and
its tax rate is 25%. Its basic earning power (BEP)
ratio is 16%, and its return on assets (ROA) is
6.25%. What is its times-interest-earned (TIE)
ratio? Round the answer to two decimal places.

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