1 Exercise 13-7 Analyzing liquidity LO P3 10 points Current Yr 1 Yr Ago 2 Yrs Ago eBook Hint Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses plant assets, net Total assets Liabilities and Equity Accounts payable Long-term noten payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 32,402 94,870 121,691 10,648 300, 788 $ 560,399 $ 38,262 $ 39,067 68,311 51,037 87,587 57,733 10,348 4,297 278,595 246, 466 $ 483, 103 $ 398,600 ASK Print References $ 138,144 $ 84,094 $ 53,668 104,301 162,500 155, 454 $ 560,399 113,336 88,972 162,500 162,500 123, 173 93,460 $ 483, 103 $ 398,600 (1-a) Compute the current ratio for each of the three years. (1-1) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years. (2.b) Did the acid-test ratio improve or worsen over the three year period? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B ints (1-a) Compute the current ratio for each of the three years. (1-1) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years, (2-b) Did the acid-test ratio improve or worsen over the three year period? eBook Hint AK Complete this question by entering your answers in the tabs below. Print References Required 1A Required 18 Required 2A Required 28 Compute the current ratio for each of the three years. Current Ratio 1 Choose Denominator: Choose Numerator: Current Yr: 1 Yr Ago: 2 Yrs Ago Current Ratio Current ratio oto 1 Oto 1 oto 1 e 1 Required 18 > mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity 104,301 262,500 155,454 $ 560,399 113,336 8,972 162.500 162,500 123,122 93,460 5493, 103 5 390,000 (1-a) Compute the current ratio for each of the three years. (9-b) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three year period? DO Complete this question by entering your answers in the tabs below. sonori Required 1A Required 18 Required 2A Required 28 Compute the acid-test ratio for each of the three years, Aaltostrato Choose Numerator: Choone Denominater Adid Test Ratio Acid bestratin tot to 1 001 + Current Yr 1 Ye Ago 2 Yrs Ago + Required 10 Required 20 )