Interest Coverage Ratio is a crucial financial metric used to assess a company's ability to meet its interest obligations. It reflects how comfortably a firm can pay interest on its outstanding debt with its current earnings. A higher ratio indicates a stronger financial position, while a lower ratio may signal potential difficulties in meeting debt commitments. Understanding this ratio is vital for investors, creditors, and financial analysts in evaluating a company's financial health and risk profile. Check out this PowerPoint presentation to gain a good insight into the concept. Download now.

Aparika Sharma

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