Debt/coverage ratios measure two things: (1) capital structure of a business and (2) its ability to service its debt.
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Q138: Liquidity ratios enable managers to measure the
Q139: Current assets and current liabilities have to
Q140: The two most popular liquidity ratios are
Q141: The quick ratio measures the relationship between
Q142: The account that is removed from current
Q144: The higher the debt-to-total-assets ratio the better
Q145: Debt-to-equity ratio measures the proportion of debt
Q146: Times-interest-earned ratio measures to what extent a
Q147: A 6 times-interest-earned ratio is considered acceptable.
Q148: The times-interest-earned ratio is calculated by dividing
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