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Trendy Ltd's Net Profit After Tax Was $1,200 and Its

Question 11

Multiple Choice

Trendy Ltd's net profit after tax was $1,200 and its interest expense was $400. Assuming corporate tax is $400, what is the company's interest cover ratio?


A) 5.0
B) 3.0
C) 1.2
D) 1.8

Correct Answer:

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