Question: 12. Problem 4.12 (Ratio Calculations) eBookProblem Walk-Through Thomson Trucking has $18 billion in assets, and its tax rate is 25%. Its basic earning power (BEP)

12. Problem 4.12 (Ratio Calculations)

eBookProblem Walk-Through

Thomson Trucking has $18 billion in assets, and its tax rate is 25%. Its basic earning power (BEP) ratio is 15%, and its return on assets (ROA) is 7.25%. What is its times-interest-earned (TIE) ratio? Round your answer to two decimal places.

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!