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The Times Interest Earned Ratio of Mchugh Company Was 4.5

Question 72
Multiple Choice

The times interest earned ratio of McHugh Company was 4.5 times.The interest expense for the year was $20,000,and the company's tax rate was 40%.What was the company's net income? A) $22,000. B) $42,000. C) $54,000. D) $66,000.

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