ree commonly used measures of solvency are the debt-to-equity ratio, the times interest earned ratio, and the cash coverage ratio. Issued shares in exchange for equipment for $500,000. Issued bonds at par for $1 million cash. c. Previously declared dividends are paid in cash. d. Accrued interest expense is recorded. e. A customer pays money on his Account receivable. Required: For each of the above transactions, determine whether the measure will increase, decrease, or not change. Assume that all ratios are higher than 1. (Hint: Dividends paid are considered a financing activity.) Transaction a. Debt-to-equity ratio Times Interest Earned ratio Cash Coverage ratio. No change b. C d. No change Increase Decrease No change No change Increase No change No change No change Increase No change 8. No change No change No change