The interest coverage ratio is calculated by dividing earnings before interest and taxes (EBIT) by the total amount of interest expense on all of the company’s outstanding debts.
Further Readings –
|UPSC Syllabus||Syllabus and Strategy for UPSC Economy|
|NCERT Notes for UPSC||UPSC Mains General Studies Paper-3 Strategy, Syllabus & Structure|
|Previous Year UPSC Question Papers||UPSC Mains Economy Questions|