1. The financial ratio measured as earnings before interest and taxes, plus depreciation, divided by interest expense, is the:
a. cash coverage ratio.
b. debt-equity ratio.
c. times interest earned ratio.
d. gross margin.
e. total debt ratio.
2. The main objective of long-term financial planning models is to:
a. determine the asset requirements given the investment activities of the firm.
b. plan for contingencies or uncertain events.
c. determine the external financing needs.
d. All of the above.
e. None of the above.