Assume a company’s Income Statement for Year 12 is as follows:

Income Statement DataYear 12(in 000s)Net Revenues from Footwear Sales$ 580,000Cost of Pairs Sold350,000Warehouse Expenses45,000Marketing Expenses90,000Administrative Expenses15,000Operating Profit (Loss)80,000Interest Income (Expense)(20,000)Pre-tax Profit (Loss)60,000Income Taxes18,000Net Profit (Loss)$ 42,000Based on the above income statement data and the formula for calculating the interest coverage ratio presented in the Help section for p. 5 of the Footwear Industry Report, the company’s interest coverage ratio is4.00.2.10.29.0.3.00.2.20.