Choose the correct letter of answer and provide a solution A firm has profit before tax of P63 million. If the company's times interest covered ratio is 8 times, what is the total interest charge? a. P3 Million b. P6 Million c. P9 Million d. P12 Million e. P15 Million

Choose the correct letter of answer and provide a solution A firm has profit before tax of P63 million. If the company's times interest covered ratio is 8 times, what is the total interest charge? a. P3 Million b. P6 Million c. P9 Million d. P12 Million e. P15 Million

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter6: Accounting For Financial Management

Section: Chapter Questions

Problem 3P

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Choose the correct letter of answer and provide a solution

A firm has profit before tax of P63 million. If the company's times interest covered ratio is 8 times, what is the total interest charge?

a. P3 Million
b. P6 Million
c. P9 Million
d. P12 Million
e. P15 Million

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