Accountancy, asked by NAVID8714, 9 days ago

Net profit before interest and Tax is Rs. 3,20,000 interest is Rs. 40,000. the interest coverage is

Answers

Answered by deveshharyani
1

Answer:

hope you like my answer

Explanation:

Net profit = 3,20,000

interest and tax=40,000

interest coverage is = 40,000x100

=40,00,000÷3,20,000

=12.5%

so, the interest coverage is 12.5%

then the left profit is 2,80,000

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