What is MPIs times-interest-earned ratio

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1. Jim accepted a ?$4,000 loan from his uncle Kurt. Uncle Kurt agreed to defer payments for two years until after Jim graduates from college. How much will Jim owe in two years if his uncle charges him 4?% interest compounded? annually?

2. MPI Incorporated has $7 billion in assets, and its tax rate is 40%. Its basic earning power (BEP) ratio is 8%, and its return on assets (ROA) is 3%. What is MPI's times-interest-earned (TIE) ratio? Round your answer to two decimal places.?

Reference no: EM131825469

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