what is a tie ratio?

Question

and where would i find it

Answer 1

Times Interest Earned - TIE ratio

Times interest earned ratio = EBIT divided by the interest charge for the year. Also referred to as "interest coverage ratio".

By comparing the ratio of operating income to interest expense, you measure how many times your interest obligations are covered by earnings from operations. The higher the ratio, the bigger your cushion and the more able the business is to meet interest payments. If this ratio is declining over time, it's a clear indication that your financial risk is increasing.

Times interest earned is a ratio which measures the amount of times interest payments can be covered by income before taxes. Interest payments are paid before taxes which is why income before taxes is used in this ratio.

To calculate Times interest earned:
Times interest earned = (Income before taxes + interest) / Interest charges