contestada

Delta Corporation has a higher times interest earned ratio than Gamma Corporation. From this information, we can assume that Delta is relatively better able to meet its interest payments.
a. True
b. False

Respuesta :

Answer: True

Explanation:

The times interest earned ratio indicates how a company will be able to meet its debts obligations which is based on the current income of the company.

Since Delta Corporation has a higher times interest earned ratio than Gamma Corporation, it means that Delta is relatively better able to meet its interest payments.

Delta in its effective terms means the measurement of the rate of change in the premium whereas the gamma is meant as the measure of the movement of the risk. Delta is linked with the ranges of 0 and 1 and gamma is linked with the range of long and short-run in the market.

The correct answer is True

The time's interest earned ratio indicates how a company will be able to meet its debts obligations which are based on the current income of the company.

Since Delta Corporation has a higher times interest earned ratio than Gamma Corporation, it means that Delta is relatively better able to meet its interest payments.

To know more about the delta and gamma, refer to the link below:

https://brainly.com/question/3645138