A creditor most likely would consider a decrease in which of the following ratios to be positive

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A creditor most likely would consider a decrease in which of the following ratios to be positive news?

A. Interest coverage (times interest earned).

B. Debt-to-total assets.

C. Return on assets.

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International Financial Statement Analysis CFA Institute Investment Series

ISBN: 9780470287668

1st Edition

Authors: Thomas R. Robinson, Hennie Van Greuning CFA, Elaine Henry, Michael A. Broihahn, Sir David Tweedie

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Question Posted: Feb 14, 2024 09:00 AM

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A creditor most likely would consider a decrease in which of the following ratios to be positive

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The answer is B Debttototal assets Heres why A Interest coverage times interest earned This ratio is ...View the full answer

International Financial Statement Analysis CFA Institute Investment Series

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