22、Assume U.S. GAAP (generally accepted accounting principles) applies unless otherwise noted.
An analyst made the appropriate adjustments to the financial statements of retail companies that are lessees using a       substantial number of operating leases. Compared to ratios computed from the unadjusted statements, the ratios computed from the adjusted statements would most likely be higher for:

A. the debt-equity ratio but not the interest coverage ratio.

B. the interest coverage ratio but not the debt-equity ratio.

C. both the debt-equity ratio and the interest coverage ratio.

D. neither the debt-equity ratio nor the interest coverage ratio.

[此贴子已经被作者于2008-11-7 16:35:45编辑过]

Correct answer = A

"Leases and Off-Balance Sheet Debt," Gerald I. White, Ashwinpaul C. Sondhi, and Dov Fried
2008 Modular Level I, Vol. 3, pp. 522-523
Study Session 9-40-b
contrast the effects of capital and operating leases on the financial statements and ratios of the lessees and lessors
The adjustments for operating leases would increase the amount of total debt in the debt-equity ratio, thus increasing the ratio; the estimated lease interest expense would lower the interest coverage ratio. 

thanks