Interest Coverage Ratio Calculator for Class 12 Accountancy

Formula

Interest Coverage Ratio = Profit before Interest and Tax ÷ Interest

Worked example

PBIT of 3,00,000 and interest of 60,000 gives an interest coverage ratio of 5 times.

The interactive calculator on this page accepts your own question values and displays the final answer with step-by-step working.

Frequently asked questions

What formula does the Interest Coverage Ratio Calculator use?

This calculator uses: Interest Coverage Ratio = Profit before Interest and Tax ÷ Interest. The interactive page shows the working step by step.

Is the Interest Coverage Ratio Calculator free?

Yes. It is free to use and does not require a login.

Can I use the calculator for exam preparation?

Yes. Use it to check numerical working and then practise writing the formula, substitution and final answer yourself.

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