Question
If a firm’s interest coverage ratio falls from 6x to
2x over a year, it indicates:Solution
Interest coverage ratio = EBIT / Interest; fall implies strain in interest-paying capacity, increasing financial risk.
More Accounts Questions
Simplify the following expressions and choose the correct option.
[560 ÷ 7 - (3/8 of 128)] + [2/3 of 171 - 52]
(60/15) × 25 + 15 2 – 18% of 200 = ? 2
12% of 450 + 16% of 1500 = ?
What will come in the place of question mark (?) in the given expression?
(72 × 4 – 92) ÷ 14 = ?
2*1/3 + 22*1/3 + 222*1/3 + 2222*1/2 + 22222*1/2 = ?
What will come in the place of question mark (?) in the given expression?
?% of (175 - 220 + 125) X 24 = 500 - 20Â
(23 × 8) – (13 × 5) + 67 =? x 6         Â
