Please help solve the incorrect ones In 2016, Natural Selection, a nationwide computer dating service, had $518 million of assets and $209 million of liabilities Earnings before interest and taxes were $129 million, interest expense was $29 million, the tax rate was 40 percent, principal repayment requirements were $24 9 million, and annual dividends were 30 cents per share on 21 million shares outstanding a Calculate the following for Natural Selection (Round your answers to 2 decimal places ) Liabilities to equity ratio 0 68selected answer correct Times interest earned ratio 4 45selected answer correct Times burden covered 1 44 Incorrect b What percentage decline in earnings before interest and taxes could Natural Selection have sustained before failing to cover (Round your answers to 1 decimal place ) Interest payment requirements (77 5) selected answer incorrect Principal and interest requirements 43 7 selected answer incorrect Principal, interest, and common dividend payments 40 0 selected answer incorrect

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Question: Please help solve the incorrect ones. In 2016, Natural Selection, a nationwide computer dating service, had $518 million of assets and $209 million of liabilities.

Please help solve the incorrect ones.

In 2016, Natural Selection, a nationwide computer dating service, had $518 million of assets and $209 million of liabilities. Earnings before interest and taxes were $129 million, interest expense was $29 million, the tax rate was 40 percent, principal repayment requirements were $24.9 million, and annual dividends were 30 cents per share on 21 million shares outstanding.

a. Calculate the following for Natural Selection: (Round your answers to 2 decimal places.)


Liabilities-to-equity ratio	0.68selected answer correct
Times-interest-earned ratio	4.45selected answer correct
Times burden covered	1.44 Incorrect

b. What percentage decline in earnings before interest and taxes could Natural Selection have sustained before failing to cover: (Round your answers to 1 decimal place.)

Interest payment requirements?	(77.5) selected answer incorrect
Principal and interest requirements?	43.7 selected answer incorrect
Principal, interest, and common dividend payments?	40.0 selected answer incorrect

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