In a recent year Ley Corporation had a net income of $150,000, interest expense of $30,000, and

Fantastic news! We've Found the answer you've been seeking!

Question:

In a recent year Ley Corporation had a net income of $150,000, interest expense of $30,000, and a times interest earned ratio of 7. What was Ley Corporation's income before taxes for the year?

$240,000

$210,000

$180,000

None of these answer choices are correct.

Related Book For answer-question

Accounting

ISBN: 978-0324401844

22nd Edition

Authors: Carl S. Warren, James M. Reeve, Jonathan E. Duchac

See More Books

Posted Date: Jun 22, 2022 04:32 AM

See More Questions

The following additional information is available for the Dr. Ivan and Irene Incisor family from Chapters 1-5. Ivan's grandfather died and left a portfolio of municipal bonds. In 2012, they pay Ivan...
Whirlwind Industries is a multiproduct company with several manufacturing plants. The Brownwood Plant manufactures and distributes two carpet cleaning products, Household and Commercial, under the...
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
Comparative figures from the statement of profit or loss of Misty Ltd are shown below: 2017 2016 Revenue (all sales) Cost of sales $450 000 292 300 $390 000 287 000 Gross profit Expenses (including...
1. An automobile of mass 117 slugs follows a curve of radius 79.0 ft with a speed of 49.3 ft/s. What centripetal force is exerted on the automobile while it is rounding the curve? 2. Find the...
Refer to the information in BE6-4. Calculate ending inventory and cost of goods sold for 2012, assuming the company uses weighted-average cost. Date Jan. 1 May. 5 Nov. 3 Number of Units 50 200 2 3...
Some people believe that, instead of producing tangible benefits, business controls create resentment and loss of company morale. Discuss this position.
Can competitors easily replicate Nokias global strategy? Why or why not? What brand of cell phone do you own? If youre living in the United States, chances are it isnt a Nokia. But if youre living...
H&C sells toys for the holiday season in specially designed boxes. The firm sells four different designs, and currently, all packaging is done in the plant. All manufacturing and packaging for the...
Air is pumped into the steel thin-walled pressure vessel at C. If the ends of the vessel are closed using two pistons connected by a rod AB, determine the increase in the diameter of the pressure...
Explain why there were so many worker strikes during the Gilded Age.
What are the key factors that contribute to the success or failure of social movements, and how have digital technologies transformed the nature of collective action ?
What skills should I need to become an industrial microbiologist? What is the importance of industrial microbiology concepts if I will pursue Medicine? What tools can be used to effectively...
Stanley Company installs granite countertops in customers' homes. First, the customer chooses the particular granite slab, and then Stanley measures the countertop area at the customer's home, cuts...
At time t = 0, an aircraft is located at (x, y) = (3km, -1km) in a two-dimensional coordinate system. Its velocity is v = (-30m/s, 80m/s). a) Write down an expression for the position of the aircraft...
Utilities Maintenance Supplies Indirect labor Depreciation Cost Formula $16,800 + $0.12 per machine-hour $38,900 + $1.90 per machine-hour $0.40 per machine-hour $94,200 + $2.00 per machine-hour...
e ) calculate the mean absolute deviation ( MAD ) for each method using the data below.
Arlington Merchants reported the following on its income statement for the fiscal years ending December 31, 2016 and 2015. 2016 2015 Sales $4,857,500 $4,752,900 Cost of goods sold 3,258,950 3,207,000...
During November, Taylor Company accumulated 1,000 hours of direct labor costs on Job 80 and 800 hours on Job 82. The total direct labor was incurred at a rate of $14 per direct labor hour for Job 80...
Broad Plain Inc. had net income of $350,000 during the year. There were 420,000 common shares and 5,000 shares of $100 par value, 7% preferred stock outstanding during the year. Determine the basic...
Simon Inc. has fixed costs of $150,000. The unit selling price, variable cost per unit, and contribution margin per unit for the companys two products are provided below. The sales mix for products X...
Denise Young, an accountant for Chiles Corporation, has been asked to prepare an income statement that reports contribution margin. Miss Young has asked you to prepare an analysis of three months...
How is a present value factor determined?
How are interest rates and the rate of return stated?

In a recent year Ley Corporation had a net income of $150,000, interest expense of $30,000, and

Question:

Expert Answer:

OPTION 210000 Times Intere... View the full answer

Accounting

Students also viewed these accounting questions