1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
vekshin1
3 years ago
7

Use the following information to answer the next question. Total Asset = $40 million Depreciation = $1.0 million. Basic earning

power (BEP) ratio is 20% Lease payments = 0.6 million Times-interest-earned (TIE) ratio is 6.55 Principal payments = 4 million What is the company's EBIT? The company's interest expense? Select one: a. $8.0 million; $1.22 million b. $7.5 million; $0.75 million c. $8.0 million; $0.62 million d. $1.35 million; $0.37 million e. $3.33 million; $0.83 million​
Business
1 answer:
Marizza181 [45]3 years ago
5 0

Answer:

a. $8.0 million; $1.22 million

Explanation:

The computation is shown below:

As we know that

Basic earnings power = EBIT ÷ total assets

So,

EBIT = Basic earnings power × total assets

= 0.20 × 40 million

= $8 million

Now

Times interest earned = EBIT ÷ interest expense

So,  

Interest expense = EBIT ÷ Times interest earned

= $8 million ÷ 6.55

= $1.22 million

You might be interested in
The nurse is assessing a patient's functional ability. which activities most closely match the definition of functional ability?
Sever21 [200]
When The nurse is assessing a patient's functional ability, the activities that <span> most closely match the definition of functional ability are: 
</span><span>-. Healthy individual works outside the home, use a cane, well groomed. 
- Healthy individual, college education, travels, can balance a checkbook

During the assessment, the nurse will assist the patient to do several activities that will most likely become the patient's routine</span>
5 0
2 years ago
Si hacemos una compra en cuenta corriente ¿ obtenemos un "descuento" en el precio de un objeto o un recargo en el mismo ?
baherus [9]

Answer:

Un recargo, pequeño, en el mismo.

Explanation:

Una cuenta corriente es una cuenta bancaria destinada a depósitos y retiros corrientes, y la utilización de cheques a tales fines. Dado que el uso de cheques como medio de pago ha disminuido a niveles muy bajos, la emisión de cheques ha disminuido y, en ocasiones, se ha abolido por completo. Sin embargo, la cuenta corriente a nombre sobrevive en algunos casos en el habla cotidiana.

El propósito de una cuenta de transacciones es usarse para una gran cantidad de depósitos y retiros. Los términos y condiciones de la cuenta normalmente incluyen el derecho a realizar un número ilimitado de transacciones con los fondos de la cuenta sin ningún tipo de bloqueo u otras medidas de limitación de liquidez. Por otro lado, el banco normalmente ofrece tasas de interés muy bajas o nulas sobre los fondos en circulación.

Hoy en día, la cuenta de transacciones a menudo está vinculada a varias formas de soluciones de banca por Internet para permitir pagos y otras transacciones a través de la computadora del cliente del banco. El banco también suele proporcionar tarjetas de cajero automático o tarjetas de débito a particulares con cuentas de transacciones.

6 0
2 years ago
Under the Customer Information Program (CIP) rules, a person's status as a customer equates with account holders. Which activity
Len [333]

Answer:

A

Explanation:

This is because it is only an account under a bank that can purchase a general purpose reloadable prepaid cards with an activated overdraft feature.

6 0
3 years ago
Panner, Inc., owns 35 percent of Watkins and applies the equity method. During the current year, Panner buys inventory costing $
ziro4ka [17]

Answer: $2289

Explanation:

First, we have to calculate the gross percentage which would be:

= (Revenue - Cost of goods sold) Revenue

= ($124000 - $86800) / $$124000

= 30%

Therefore, the amount of gross profit must Panner defer in reporting this investment using the equity method would be:

= ($21800 × 30%) × 35%

= $21800 × 0.3 × 0.35

= $2289

6 0
2 years ago
Why would a person with conductive hearing loss hear the tuning fork through bone conduction longer than or equally as long as t
UNO [17]

Answer:

Speech understanding would have an effect hugely particularly if the hearing loss is merely in one range. This would let the person to not pick up or hear some letters articulated and perhaps not be able to put them together. For instance, l, m, and n are central range pitches and s and f are high range pitches. 

5 0
3 years ago
Other questions:
  • What can you infer about the family's financial situation? explain how it has changed over the years?
    12·2 answers
  • When selecting smallwares to use in the kitchen a manager must be sure?
    10·1 answer
  • Deductions for AGI may be locatedAnswers:on Schedule C as a deduction.on the front page of Form 1040.on Schedule E as a deductio
    14·1 answer
  • Name one way establishing credit
    10·1 answer
  • Body Sync Inc. is a chain of gyms. It offers a fitness package that allows its members to use the gym facilities for 12 months b
    15·1 answer
  • Which of the following would increase the likelihood that a company would increase its debt ratio, other things held constant?
    8·1 answer
  • The liquidity of the market is _____ in a purely domestic capital market. Multiple Choice unlimited limited held in reserves bas
    8·1 answer
  • What is the difference between a price floor and a price ceiling?
    5·2 answers
  • Data from Fontecchio Corporation's most recent balance sheet appear below:
    6·1 answer
  • A random sample of records of sales of homes from February 15 to April 30, 1993, from the files maintained by the Albuquerque Bo
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!