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KRJ Enterprises reported a steady debt ratio of 40% over the past two years and a significant decrease in its interest coverage ratio from 8.3

KRJ Enterprises reported a steady debt ratio of 40% over the past two years and a significant decrease in its interest coverage ratio from 8.3 to 3.9. What is the most likely initial conclusion an analyst would make in assessing the company's solvency or creditworthiness? 

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