ABC Co. financial data for 2020 & 2019 are given below:

		2020		2019
Total Assets		$925,000		$893,000
Total Liabilities		671,000		575,000
Cash		37,000		39,500
Interest-bearing Debt		565,000		367,000
Net Income		143,000		118,000
Interest Expense		10,500		6,600
Tax Expense		18,000		15,200
Depreciation Expense		48,000		42,000

Calculate the debt to equity ratio and the interest coverage ratio using the select financial data provided above for 2019 & 2020.(Round answers to 2 decimal places, e.g. 15.25.)

		2020			2019
Debt to Equity Ratio
Interest Coverage Ratio			times			times

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Is ABC Corp.s leverage improving or deteriorating?

ABC Corp.s leverage is improvingdeteriorating.

Is its ability to service its long-term debt improving or deteriorating?

Ability to service its long-term debt is deterioratingimproving.