Multiple Choice
The times interest earned ratio for Bodhaine's Orchard was 8.52 in 2016,6.63 in 2017,and 2.74 in 2018.What is the most likely interpretation of this ratio?
A) The ability to cover interest costs with resources from operations is decreasing.
B) The amount of debt has been decreasing each year.
C) Current liabilities are growing faster than current assets.
D) Income taxes have reduced an increasing amount of operating income.
Correct Answer:
Verified
Correct Answer:
Verified
Q165: On January 1,2018,a company issues 3-year bonds
Q166: Viewmont Manufacturing began the year owing its
Q167: Travis County Bank agrees to lend Brickyard
Q168: The total amount of interest that will
Q169: Hermosa Vista Company issued $200,000 5-year,7% bonds
Q171: What kind of account is Deferred Revenue?<br>A)Asset<br>B)Liability<br>C)Revenue<br>D)Expense
Q172: Redmont Company's gross salaries and wages are
Q173: A company sells a bond with a
Q174: Gross earnings for the pay period are
Q175: Match each term with the appropriate definition.Not