EBIT = 4,00,000 EBT = 3,00,000 Sales = 16,00,000 Which of the following is / are correct? DFL is 1.33Interest coverage ratio is 3Operating profit…

CA Intermediate · Financial Management and Strategic Management · MTP · January 2025
EBIT = 4,00,000 EBT = 3,00,000 Sales = 16,00,000 Which of the following is / are correct? DFL is 1.33Interest coverage ratio is 3Operating profit margin is 25% Select the correct answer using the code given below:
(A) 1, 2 and 3
(B) 1 and 2 only
(C) 1 and 3 only
(D) 3 only

Suggested Answer and Working Notes:

Correct Answer: Option (C)

1 and 3 only

Topics: Part-A: Financial Management

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