The times interest earned ratio compares interest expense with income available to pay interest charges.

Name: The times interest earned ratio compares interest expense with income available to pay interest charges.
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The times interest earned ratio is a measure of a company's ability to meet its interest obligations. It is calculated by dividing income available for interest expense by the interest expense. A higher ratio indicates that the company is more able to meet its interest obligations.

The Times Interest Earned Ratio Compares Interest Expense with Income