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Ratios: Times Interest Earned (TIE)
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Ratios: Times Interest Earned (TIE)
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14. Financial Statement Analysis / Ratios: Times Interest Earned (TIE) / Problem 8
Problem 8
If a company has an operating income of \$500,000 and an interest expense of \$100,000, what is the times interest earned ratio?
A
6
B
4
C
5
D
3
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