Question
From the following details, calculate interest
coverage ratio: Net Profit after tax Rs. 60,000 Long-term debt of Rs.1,000,000 at 10% interest rate Tax rate 40%Solution
It is a ratio which deals with the servicing of interest on loan. It is a measure of security of interest payable on long-term debts Net profit before tax = 60,000/(1-0.4) = 100,000 Annual interest on the debt = 1,000,000 x 10% =100,000 Net profit before interest and tax = 100,000+100,000= 200,000 Interest Coverage Ratio = Net profit before interest and tax / Interest on long-term debt =200,000/100,000=2
A decision is said to be rational when it is based on _______
Which of these is not part of the recognised challenges for modern managers?
...What was the major criticism of the Trait theory?
When the relationship that exists between a leader and follower is that of a lord and his subject, it is a _______ type of leadership.
If a general manager asks the sales manager to recruit some salesman on his behalf, it is an instance of
Which of the following is the correct definition of leadership?
An effective MIS (Management Information System) should have all the features, except?
When decision making is easy in an organisation due to the existence of rules, standardised processes and procedures which are to be followed, What type...
Which of the following is a characteristic of participative or democratic leaders?
What is the changing step in Lewin's change model?
Relevant for Exams:
