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To calculate the Times Interest Earned (TIE) ratio, we use the formula:

\[
\text{TIE} = \frac{\text{EBIT}}{\text{Interest}}
\]

From the income statement for the year 2013:

- **EBIT (Earnings Before Interest and Taxes)** for 2013 is $110.
- **Interest** for 2013 is $25.

Now we can calculate:

\[
\text{TIE} = \frac{110}{25} = 4.4
\]

So, the Times Interest Earned Ratio for 2013 is **4.4**.

Let me know if you would like more details or any other analysis on this data. 

### Additional Related Questions:
1. How is the Times Interest Earned Ratio useful for assessing financial risk?
2. Can you explain the significance of the EBIT figure in the ratio calculation?
3. What would happen to the TIE ratio if interest expenses increased significantly?
4. How can we use TIE ratio in comparing companies in the same industry?
5. How is the TIE ratio affected by changes in earnings or interest payments?

### Tip:
A higher TIE ratio indicates that a company is better able to cover its interest payments, implying lower financial risk.

What is the Times Interest Earned Ratio for 2005?

Learn how to calculate the Times Interest Earned (TIE) ratio for 2013 using financial data, including EBIT of $110 and interest expense of $25. Understand how the TIE ratio reflects a company’s ability to cover interest expenses, useful in assessing financial risk. Suitable for undergraduate finance students.

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