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Inga [223]
2 years ago
7

Assume a company's Income Statement for Year 12 is as follows:_______.

Business
1 answer:
MrRa [10]2 years ago
8 0

Based on the above income statement data and the formula for calculating the interest coverage ratio, the company's interest coverage ratio is <u>e. 5.00.</u>

<h3>What is the interest coverage ratio?</h3>

The interest coverage ratio measures how easily a company can pay interest on its outstanding debt using its operating profit.  The operating profit is the earnings before interest expenses and taxes (EBIT).

<h3>Data and Calculations:</h3>

Operating profit = $60,000

Interest Expense = $12,000

Interest coverage ratio = Earnings before interest and taxes/Interest expense = 5 ($60,000/$12,000)

Thus, the company's interest coverage ratio is <u>e. 5.00.</u>

<u></u>

Learn more about interest coverage ratio at brainly.com/question/26092288

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A common-size income statement is an accounting statement that expresses all of a firm's expenses as a percentage of:_______
pshichka [43]

A common-size income statement is an accounting statement that expresses all of a firm's expenses as a percentage of total equity.

In mathematics, a percentage is a number or ratio expressed as a fraction of 100. It is often indicated by the percent sign '%', but the abbreviations 'pct.', 'pct', and 'pc' are also sometimes used. Percentages are dimensionless numbers. It has no units of measure. Wikipedia

The percent difference between two values ​​is calculated by dividing the absolute value of the difference between the two numbers by the average of those two numbers. Multiplying the result by 100 gives the answer as a percentage, not as a decimal. Finding 10% of a number means dividing by 10, so it's common to think that finding 20% ​​of a number requires dividing by 20. To get 10% of a number you need to divide by 10. Because 10 goes into 100 10 times. So to get 20% of a number, divide by 5. Because 20 goes into 100 5 times.

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7 0
1 year ago
In the context of consumer behavior (CB), researchers derive meaning from talking to people and observing their behavior rather
Mariulka [41]

Answer:

The correct answer is (b)

Explanation:

Interpretive research is based on predicting and analysing consumer behaviour based on the socio-historic context. This is an old technique to use historic data to predict human behaviour which is not feasible to apply in today's world because people, their living styles everything has changed. Now, researchers try to predict a phenomenon and consumer behaviour by talking to them rather analysing in a socio-historic context.

5 0
3 years ago
Determine which revision of each the following sentences provides the most clarity.
zhenek [66]

Answer:

d

Explanation:

6 0
3 years ago
1. What are chain restaurants?
Brilliant_brown [7]

1. Chain restaurants are restaurants that operate as a group. Typically, the concept, design,menu,and name of the restaurant will be the same at all of the restaurants within the group.

2. Celebrity restaurants are owned by notable public figures. Some of these  estaurants are owned by chefs such as Wolfgang Puck and Gordon Ramsay, but others are owned by celebrities from areas other than culinary arts.

3. Managed services are catering or food service providers who operate in sites other than restaurants.

4. Forecasting involves estimating the restaurant's profits and expenses for a specific period of time. First, forecasting allows the restaurant to assess their viability for that period of time. Second, forecasting allows a restaurant to estimate the amount of food and other supplies that it will need to have on hand at particular times. Finally, forecastasting lets a restaurant know the number of staff that it will need to have to serve guests and handle restaurant operations.

5. Fine dining restaurants are usually characterized as those serving cooked to order dishes that are made from scratch with fresh ingredients. We typically think of fine dining restaurants as serving elegant food prepared by chefs with a great deal of expertise and training which is the opposite of most lower class restaurants.

Critical Thinking:

1. Managed services are usually given to people to go or catered to a location whereas a restaurant has one location where people sit to eat one meal. Managed services cook their food in mass portions for large groups of people but restaurants cook meals to  order.

2. Menus are important to restaurants because they give a general appeal to the guests and also they include the base information for the products that they're selling. If a restaurant doesn't have a detailed, accurate, appealing menu then they probably wouldn't sell products as efficiently.

3. You need a clean working space,correct utensils and supplies, educated and hardworking employees,and fresh product.

4. If your kitchen design is all whack, your product will not come out in a timely sequence and everything will be backed up. The products then come out low quality and the guests are not satisfied. With a good design, everything will run smoothly and each dish will have an equal amount of time spent on them. The quality will be better therefor creating a  happy guest.

5. The back of the house doesn't communicate with guests while the front of the house is always communicating with guests on a regular basis. The back of the house puts the food together while the front of the house doesn't usually worry about the food at all.  There are also more employees in the front of the house than there is for the back of the house.

4 0
3 years ago
Martinez Corporation commenced operations in early 2020. The corporation incurred $48,500 of costs such as fees to underwriters,
igomit [66]

Answer:

See below.

Explanation:

Since the expenses are related to the formation of the business, we first capitalize these expenses and record them in our balance sheet as,

Debit Intangible Assets (Formation) by $48,500

Credit Cash/Bank by $48,500

This records an asset for the year of operation.

We amortize or depreciate these type of capitalized costs over a defined period of time. Assuming that we write off the entire cost by the end of first year we will record amortization as,

Debit Amortization expense/Income statement by $48,500

Credit Intangible Assets (Formation) by $48,500

Hope that helps.

7 0
3 years ago
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