Issuing additional shares of stock in exchange for debt will usually cause the debt to equity ratio to do what? Decrease No change Increase None of the above. If the interest rate on a company's debt is decreased, its times interest earned ratio will usually do what? Increase No Change None of the above. Dccrease Entering into a binding contractual commitment will necessarily trigger a journal entry. True False Which type of lease will result in the recognition of interest expense on the books of the lessee? Capital Lease Purchasing Lease Operating Leasc Commitment Leaso Bonds that cannot be paid off earlier are sometimes called nonredeemable. Be careful not to confuse nonredeemable with nonrefundable. Nonrefundable bonds can be paid off early, so long as the payoff money is generated from business operations rather than an alternative borrowing arrangement. True False