Blackstone, Inc., has net income of $8,815, a tax rate of 24%, and interest expense of $732. What is the times interest earned ratio?

The Times Interest Earned Ratio (TIE) is a measure of a company’s ability to cover its interest expense with its available earnings. It can be calculated by dividing the annual net income before taxes, and any other non-cash expenses such as depreciation, by the total amount of interest payments for that year. In this case, Blackstone Inc. has a net income of $8,815 and an interest expense of $732; therefore their TIE ratio would be 8,815/732 = 12.0.

This means that Blackstone Inc. earns 12 times more than what they are paying in interest each year – indicating that the company is in good financial health as it is able to comfortably meet its debt obligations with its current level of earnings. Additionally, it also serves as a useful indicator when assessing whether or not to lend money to the company as lenders will often look at this ratio before deciding on whether or not extend credit facilities.

It should be noted however that there are some limitations associated with using this ratio alone when making investment decisions; although having a higher TIE indicates better financial health and stability, it does not necessarily mean that you should invest in the company blindly without looking at other factors such as potential growth opportunities or risk levels involved.

Overall though, the Times Interest Earned Ratio remains one of the most important measures used by investors to assess a company’s ability to pay off its debts and can provide an indication into how healthy their finances actually are so it should definitely not be overlooked.