Refer the following table.

Focus Metals Inc.

Comparative Balance Sheet Information

November $30$

$($millions of $$)$

$20232022$

Cash $ $31$ $ $101$

Accounts receivable $($net$)446292$

Inventory $9083$

Plant and equipment $($net$)2,8462,930$

Accounts payable $337253$

Long$-$term notes payable$*1,8502,410$

Common shares $450450$

Retained earnings $776293$

$*90\%$ of the plant and equipment are secured by long$-$term notes payable.

Focus Metals Inc.

Income Statement

For Year Ended November $30$

$($millions of $$)$

$20232022$

Net sales $ $3,030$ $ $2,232$

Cost of goods sold $1,052842$

Gross profit $ $1,978$ $ $1,390$

Operating expenses:

Depreciation expense $ $118$ $ $118$

Other expenses $785652$

Total operating expenses $903770$

Profit from operations $ $1,075$ $ $620$

Interest expense $185219$

Income tax expense $5963$

Profit $ $831$ $ $338$

Required:

Calculate Focus Metals$$ solvency ratios for $2022$ and $2023.($Round the final answers to $2$ decimal places.$)$

Analysis Component:

Identify whether the change in each ratio from $2022$ to $2023$ was favourable or unfavourable.