The information related to Outloud Music,Inc.is given below:
$$\begin{array} { l l l }
& \text { Year ended December } & \text { Year ended December } \
& 3 1 , 2 0 1 6 & 3 1 , 2 0 1 7 \
\hline \text { Net Income } & \$ 11,510 & \$ 210,570\
\text { Income Tax Expense } & 55,910 & 103,505\
\text { Interest Expense } &6,595 & 59,505 \
\end{array}$$ Calculate the times-interest-earned ratio for each year and also state the percentage change in the ratio.

Question

The information related to Outloud Music,Inc.is given below:
 $$\begin{array} { l l l } 
& \text { Year ended December } & \text { Year ended December } \
& 3 1 , 2 0 1 6 & 3 1 , 2 0 1 7  \
\hline \text { Net Income } & \$ 11,510 & \$ 210,570\
\text { Income Tax Expense } & 55,910 & 103,505\
\text { Interest Expense } &6,595 & 59,505  \
\end{array}$$ Calculate the times-interest-earned ratio for each year and also state the percentage change in the ratio.

Quizplus · Accepted Answer

The Answer of The information related to Outloud Music,Inc.is given below:
 $$\begin{array} { l l l } 
& \text { Year ended December } & \text { Year ended December } \
& 3 1 , 2 0 1 6 & 3 1 , 2 0 1 7  \
\hline \text { Net Income } & \$ 11,510 & \$ 210,570\
\text { Income Tax Expense } & 55,910 & 103,505\
\text { Interest Expense } &6,595 & 59,505  \
\end{array}$$ Calculate the times-interest-earned ratio for each year and also state the percentage change in the ratio.

The Information Related to Outloud Music,Inc Calculate the Times-Interest-Earned Ratio for Each Year and Also State