Question: Required: In 2 0 2 0 , Natural Selection, a nationwide computer dating service, had ( $ 5 0 0 ) million

Required:
In 2020, Natural Selection, a nationwide computer dating service, had \(\$ 500\) million of assets and \(\$ 200\) million of liabilities. Earnings before interest and taxes were \(\$ 120\) million, interest expense was \(\$ 28\) million, the tax rate was 40 percent, principal repayment requirements were \(\$ 24\) million, and annual dividends were 30 cents per share on 20 million shares outstanding.
a. Calculate the given ratios for Natural Selection.
- Liabilities-to-equity ratio
- Times-interest-earned ratio
- Times burden covered
b. What percentage decline in earnings before interest and taxes could Natural Selection have sustained before failing to cover the given items?
- Interest payments requirements
- Principal and interest requirements
- Principal, interest, and common dividend payments
Note: Round your percentage answer to whole number (i.e.,0.1234 should be considered as 12.)
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Required: In 2 0 2 0 , Natural Selection, a

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