(1) Compute days' sales uncollected. Days' Sales Uncollected Choose Numerator: 1 Choose Denominator: Days Days' Sales Uncollected Days' Sales Uncollected 2017: days 2016: 1 X days (2) Compute accounts receivable turnover. Accounts Receivable Turnover Choose Numerator: | Choose Denominator: Accounts Receivable Turnover Accounts receivable turnover = 2017: times 2016: / times (3) Compute inventory turnover. Inventory Turnover 1 Choose Denominator: Choose Numerator: Inventory Turnover Inventory turnover = 2017: = times 2016: 1 = times (4) Compute days' sales in inventory. Days' Sales In Inventory Choose Numerator: Choose Denominator: Days Days' Sales In Inventory 2017: 1 1 Days' sales in inventory days days 2016: Required information Exercise 13-8 Liquidity analysis and interpretation LO P3 [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. 2017 2016 2015 At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 33,956 $ 39,691 $ 40,526 89,200 62,800 53,800 113,000 83,500 51,000 10,935 10,419 4,503 322, 729 294,814 255,471 $569,820 $ 491,224 $ 405,300 $ 143,304 $ 83, 847 $ 54,035 108,197 114, 111 90,467 162,500 162,500 162,500 155,819 130, 766 98,298 $ 569,820 $ 491,224 $ 405,300 The company's income statements for the years ended December 31, 2017 and 2016, follow. Assume that all sales are on credit: For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income taxes Total costs and expenses Net income 2017 $ 740,766 $ 451,867 229,637 12,593 9,630 703, 727 $ 37,039 $ 2.28 2016 $ 584,557 $ 379,962 147,893 13,445 8,768 550,068 34,489 $ 2.12 $ Earnings per share