Times interest earned Averill Products Inc. reported the following on the companys income statement in...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Times interest earned
Averill Products Inc. reported the following on the companys income statement in 20Y8 and 20Y9:
20Y920Y8
Interest expense$460,000 $420,000
Income before income tax expense5,520,000 4,284,000
a. Determine the times interest earned ratio for 20Y8 and 20Y9. Round to one decimal place.
20Y920Y8
Times Interest Earned
b. Is the change in the times interest earned ratio favorable or unfavorable?
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.