5 Part 3 of 6 1.11 points 02:32:17 eBook Hint Print Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] 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 notes payable Common stock, $10 par value Retained earnings Total liabilities and equity $ 33,133 $37,624 Current Year 1 Year Ago 2 Years Ago $ 37,579 67,105 52,725 89,561 53,966 10,066 4,394 94,127 117,152 10,776 300,824 $ 556,012 $ 139,831 101,394 162,500 152,287 $ 556,012 275,010 $479,321 $ 81,815 112,449 162,500 122,557 $ 479,321 For both the current year and one year ago, compute the following ratios: 239,091 $387,800 $ 50,678 83,990 162,500 90,632 $387,800 References Exercise 17-8 (Algo) Analyzing and interpreting liquidity LO P3 The company's income statements for the current year and one year ago follow. Assume that all sales are on credit: For Year Ended December 31 Sales Cost of goods sold Other operating expenses Income tax expense Interest expense Current Year $ 722,816 1 Year Ago $570,392 $ 440,918 224,073 9.397 $ 370,755 144,309 13,119 8,556 686,676 12,288 Total costs and expenses Net income Earnings per share (1-a) Compute days' sales uncollected. $ 36,140 $ 2.22 536,739 $ 33,653 $ 2.07 (1-b) Determine if days' sales uncollected improved or worsened in the current year. (2-a) Compute accounts receivable turnover. (2-b) Determine if accounts receivable turnover ratio improved or worsened in the current year. (3-a) Compute inventory turnover. (3-b) Determine if inventory turnover ratio improved or worsened in the current year. (4-a) Compute days' sales in inventory. (4-b) For each ratio, determine if days' sales in inventory improved or worsened in the current year. Complete this question by entering your answers in the tabs below.