Coney Island enters into a lease agreement for a new ride. The lease payments have a present value of $2.5 million. Prior to agreement, the company's total assets are $26.5 million and its total liabilities are $15.5 million. Required: 1. Calculate total stockholders' equity prior to the lease agreement. 2. & 3. Calculate the debt to equity ratio, prior to the lease being signed and immediately after the lease being signed. 4. Does the direction of the change in the debt to equity ratio typically indicate that the company has higher leverage risk?