(2) Total asset turnover.

(3-a) Return on total assets. (3-b) Based on return on total assets, did Simon's operating efficiency improve or worsen in the Current Year versus 1 Year Ago?

Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago 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 $ 31,200 86,200 111,500 10,300 277,000 $516,200 $ 36,250 $ 37,800 61,500 49,000 83,000 52,500 9,250 4,700 252,000 234,000 $442,000 $ 378,000 $128,000 $ 74,250 $ 51,200 95,500 160,000 132,700 $516,200 98,000 83,000 160,000 160,000 109,750 83,800 $442,000 $ 378,000 The company's income statements for the Current Year and 1 Year Ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share Current Yr $715,000 $443,300 228,800 11,700 9,500 693,300 $ 21,700 $ 1.36 1 Yr Ago $540,000 $351,000 129,600 13,500 8,725 502,825 $ 37,175 $ 2.32 For both the Current Year and 1 Year Ago, compute the following ratios: (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago