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What Kind of Information Does a Company's Times- Interest- Earned

Question 53

Multiple Choice

What kind of information does a company's times- interest- earned ratio provide?


A) How well a company is positioned to pay interest expense on its debt
B) How much profit is generated by each share
C) What proportion of the company's debts are non- current liabilities
D) What proportion of the company's assets are financed by debt, as opposed to equity

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