Reference no: EM132948718
Question - In 2016 natural selection on nationwide computer dating service had 536 million of assets and 218 million of liabilities. Earnings before interests and taxes were 138 million, interest expense was 29 million, the tax rate was 40%, printable repayment requirements were 25.8 million, and annual dividends were $.30 per share on 20 million shares outstanding.
a. Calculate the following for an actual selection round your answer to two decimal places
1. Liability- to -equity ratio
2. Times -interest -earned ratio
3. Times burden covered
b. What percentage decline in earnings before interest and taxes could natural selection have to stay before filling to cover (round your answer to one decimal place)
1. Interest payment requirements?
2. Principal and interest requirements?
3. Principal, interest, and common dividend payments?