Exercise 9-6 (Algo) Understand the effect of leases on financial ratios (LO9-3, 9-8) Coney Island enters into a lease agreement for a new ride. The lease payments have a present value of $3.9 million. Prior to this agreement, the company's total assets are $30.7 million and its total liabilities are $16,9 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? Complete this question by entering your answers in the tabs below. Does the direction of the change in the debt to equity rotio typically indicate that the company has higher leverage risk? Does the direction of nie chango in tha debe to eguify tato fypically indicate that tho corpuny haw tigher leverabe fisk