Final answer:
The four-firm concentration ratio is a broader measure of coverage capability than the times interest earned ratio because it includes the fixed payments associated with leasing.
Step-by-step explanation:
The four-firm concentration ratio is a broader measure of coverage capability than the times interest earned ratio because it includes the fixed payments associated with leasing. The four-firm concentration ratio calculates the percentage of total sales in an industry that is accounted for by the largest four firms. This measure helps determine the degree of monopoly power in an industry and provides a more comprehensive understanding of a company's market position.