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Next year's expected net income after tax but before new financing Sinking-fund payments due next year on the existing debt Interest due next year on

image text in transcribed Next year's expected net income after tax but before new financing Sinking-fund payments due next year on the existing debt Interest due next year on the existing debt Common stock price, per share Common shares outstanding Company tax rate $51million$26million$21million$33.531million35% a. Calculate Adirondack's 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 Adirondack's times-burden-covered ratio for next year assuming annual sinking-fund payments on the new debt will equal $3.0 million. c. Calculate next year's earnings per share assuming Adirondack raises the $61 million of new debt. d. Calculate next year's 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. Note: Do not round intermediate calculations. Round "Earnings per share" answers to 2 decimal places and other answers to 1 decimal place

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