As the chief financial officer of Adirondack Designs, you have the following information:

Next years expected net income after tax but before new financing	$ 51	million
Sinking-fund payments due next year on the existing debt	$ 26	million
Interest due next year on the existing debt	$ 21	million
Common stock price, per share	$ 33.5
Common shares outstanding	31	million
Company tax rate	35%

A. Calculate Adirondacks times-interest-earned ratio for next year assuming the firm raises $61 million of new debt at an interest rate of 2 percent.

B. Calculate Adirondacks times-burden-covered ratio for next year assuming annual sinking-fund payments on the new debt will equal $3.0 million.

C. Calculate next years earnings per share assuming Adirondack raises the $61 million of new debt.

D. Calculate next years times-interest-earned ratio, times-burden-covered ratio, and earnings per share if Adirondack sells 2.6 million new shares at $22 a share instead of raising new debt.