Nile Holdings Selected financial information as of Dec. 31, 2017 ...
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Accounting
| Nile Holdings | |||
| Selected financial information as of Dec. 31, 2017 | |||
| Last year's EBIT (2014) | $ | 175.0 | million |
| Expected EBIT (2015) | $ | 189.8 | million |
| Current portion of existing long-term debt, due 2015 | $ | 34 | million |
| Interest due in 2015 on existing debt | $ | 36 | million |
| Tax rate | 35 | % | |
| Common stock price per share | $ | 50.00 | |
| Common shares outstanding | 20 | million | |
| Dividends per share | $ | 2.00 | |
Please refer to the financial information for Nile Holdings above. Nile must decide how to finance a $100 million investment. Calculate next years times-burden-covered ratio and earnings per share if Nile sells 2 million new shares at $50 a share instead of raising new debt.
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