TIE Ratio

Posted by Professor Cram in Ratios of Debt Management

TIE Ratio

The TIE Ratio shows the ability to pay interest charges out of earnings. (TIE stands for times interest earned.) This interactive tutorial walks you through the calculations, including where to find the numbers on the financial statements.

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One Response to “TIE Ratio”

  1. credit counseling says:

    You actually make it appear so easy with your presentation but I find this matter to be actually something that I feel I’d by
    no means understand. It kind of feels too complicated and
    extremely large for me. I’m looking forward on your subsequent
    post, I will attempt to get the hang of it!

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