Answer:
8.14 times
Explanation:
The computation of the Time interest earned ratio is shown below:
As we know that
Times interest earned ratio = (Earnings before interest and taxes) ÷ (Interest expense)
where,
Earnings before interest and taxes = Income before income tax for the year + Interest expense
But before tha, we need to do the following calculations
The interest amount is
= $350,000 × 0.08
= $28,000
The net profit is
= $1,750,000 × 8%
= $140,000
The EBIT is
= Profit before tax + interest expense
= $140,000 ÷ (1 - 0.30) + $28,000
= $200,000 + $28,000
= $228,000
And, the interest expense is $28,000
So, the TIE ratio is
= $228,000 ÷ $28,000
= 8.14 times
Answer:
$816
Explanation:
Calculation for Dunbar Incorporated Ending inventory
Formula for Ending inventory units using FIFO method:
Ending inventory units = Beginning balance + Purchase -sales
Leg plug in the formula
490+410 - 600
= 300units
Calculation for Ending inventory
Ending inventory = 300*2.72
= $816
Therefore the Ending inventory assuming FIFO method is use would be $816
Answer:
You won't go over on an account, also, if someone hacks into your account/ uses your money, you know who to contact, for you know that you didn't buy that item.
Explanation:
Answer
The answer and procedures of the exercise are attached in the following archives.
Explanation
You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.
Answer:
C. The Fed should target the money supply, not the interest rate, and that it should adopt the monetary growth rule.
