82,500 9,375 255,000 5,000 230,500 Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Current Year 1 Year Ago 2 Years Ago $ 31,800 89,500 112,500 $ 35,625 $ 37,800 62,500 50,200 54,000 Plant assets, net 10,700 278,500 Total assets Liabilities and Equity Accounts payable $ 523,000 $ 445,000 $ 129,900 $ 75,250 Long-term notes payable 98,500 101,500 Common stock, $10 par value 163,500 163,500 Retained earnings 131,100 104,750 Total liabilities and equity $ 523,000 $ 445,000 $ 377,500 $ 51,250 83,500 163,500 79,250 $ 377,500 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 Earnings per share Current Year $ 673,500 $ 411,225 209,550 12,100 9,525 642,400 $ 31,100 $ 1.90 1 Year Ago $ 345,500 134,980 13,300 8,845 $ 532,000 502,625 $ 29,375 $ 1.80 (1) Compute debt and equity ratio for the current year and one year ago. Current Year: 1 Year Ago: Current Year: 1 Year Ago: Debt Ratio Numerator: Denominator: Equity Ratio Numerator: Denominator: 1 = Debt ratio = 16 % " = = = % Equity ratio % %