You have just restated a set of financial statements to reflect capitalizing operating leases for the past 5 years. Now you are going to perform the financial analysis. Which of the following statements is absolutely correct when comparing the as-stated and re-stated financials?

a. The debt service margin will be higher on the second year of the restated ratios than as stated.

b. The current ratio will decrease in the first year of the restatements as compared to as-stated.

c. Operating profit margin must always be smaller for the restated ratios.

d. Times interest earned will be smaller on a restated basis

e. Altmans Z-score will increase on a restated basis.