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Q. Describe about Interest cover?
Interest cover = (Profit before interest and tax (PBIT)/ Interest payable) (no. of times)
Interest cover shows the safety of earnings, that shareholders look at. Interest cover looks at the proportion of profits that must be allocated to meeting interest charges. Interest payable is on long term finance.
1. “A mission describes what the organization is now; a vision statement describes what the organization would like to become.” Differentiate between corporate mission and strategi
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