Kizspy | Question: 2 (Choose 1 answer)
Coverage ratios, like times interest earned and cash coverage ratio, allow a firm's:
A. management to assess how well they meet short-term liabilities.
B. shareholders to assess how well the firm will meet its short-term liabilities.
C. creditors to assess how well the firm will meet its interest obligations.
D. creditors to assess how well the firm will meet its short-term liabilities other than interest