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n 2 0 2 0 , Natural Selection, a nationwide computer dating service, had $ 5 1 8 million of assets and $ 2 0

n 2020, 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:
Note: Round your answers to 2 decimal places:
b. What percentage decline in earnings before interest and taxes could Natural Selection have sustained before failing to cover:
Note: Round your answers to 1 decimal place.
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