Metrics.

Another common way to measure leverage is the debt$-$to$-$assets ratio. Again, define debt as the sum of debt and lease liabilities and assets as total assets. Use ending values $($not averages!$)$ for all calculations:

Required:

a$.$ How has FTRN$\text{'}$s debt$-$to$-$assets ratio changed between $2020$ and $2023($up$,$ down, flat and by how much as $\%$ of assets$).$

b$.$ Note FTRN$\text{'}$s repurchase of $$4,000$ million worth of common stock during the most recent fiscal year. Assume that instead of repurchasing stock, FTRN used the cash to pay off $$4,000$ million worth of debt $($assume the debt can be paid off early at par$).$ How would this affect the debt$-$to$-$assets ratio? Provide both the direction $($up$,$ down flat$)$ as well as the before $($as$-$reported$)$ and after $($pro$-$forma$)$ values.