71,457 55,594 59,806 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 Current Year 1 Year Ago 2 Years Ago $ 35,631 103,269 $ 39,608 $ 40,870 124,750 11,474 316,949 $ 592,073 92,537 10,933 295,873 $ 510,408 $ 147,426 Long-term notes payable Common stock, $10 par value Retained earnings 109,084 162,500 173,063 $ 85,396 115,046 162,500 147,466 Total liabilities and equity $ 592,073 $ 510,408 4,587 256,143 $ 417,000 $ 56,145 94,922 162,500 103,433 $ 417,000 The company's income statements for the current year and one 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 Farninne nor charo Current Year $ 469,514 238,605 $ 769,695 1 Year Ago $ 607,386 13,085 10,006 731,210 $ 38,485 $ 2.37 $ 394,801 153,669 13,970 9,111 571,551 $ 35,835 $ 2.21 Net income $ 38,485 Earnings per share $ 2.37 For both the current year and one year ago, compute the following ratios: (1) Compute debt and equity ratio for the current year and one year ago. Current Year: 1 Year Ago: Current Year: 1 Year Ago: $ 35,835 $ 2.21 Debt Ratio Numerator: 1 Denominator: Debt Ratio Debt ratio 1 1 Equity Ratio Numerator: Denominator: 1 % % Equity Ratio Equity ratio = % = %