River Cruises is all-equity-financed with 100,000 shares. It now proposes to issue $320,000 of d the proceeds to repurchase 32,000 shares at $10 per share. Profits before interest are expected to be $132,000. ebt at an interest rate of 12% and use a. What is the ratio of price to expected earnings for River Cruises before it borrows the $320,000? (Do not round Intermediate calculations. Round your answer to 2 decimal places.) Price-eanings ratio b. What is the ratio after it borrows? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Pice-earnings ratio K Prex 2 of 5 Next