ethics assignment question 9

9 Part 1 of 3 2.14 points Skipped eBook Hint Print References Simon Company's year-end balance sheets follow. At December 31 Current Year 1 Year Ago 2 Years Ago Assets Cash $36,830 $ 37,605 Accounts receivable, net Merchandise inventory $ 32,473 95,979 64,453 50,140 119,504 87,777 56,140 Prepaid expenses 10,561 9,964 4,178 Plant assets, net 286,417 270,747 239,537 Total assets $544,934 $ 469,771 $ 387,600 Liabilities and Equity Accounts payable $ 138,402 Long-term notes payable. Common stock, $10 par value 104,497 162,500 139,535 $78,597 110, 208 162,500. $ 51,675 85,660 162,500 87,765 Retained earnings 118,466 Total liabilities and equity $ 544,934 $469,771 $ 387,600 The company's income statements for the current year and one year ago, follow. Current Year 1 Year Ago. For Year Ended December 31 Sales $ 708,414 Cost of goods sold $ 432,133 $363,368 141, 434 Other operating expenses 219,608 Interest expense 12,858 12,043 9,209 8,385 Income tax expense Total costs and expenses 672,993 $ 35,421 Net income $ 2.18 Earnings per share 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. $ 559,027 526,845 $ 32,982 $2.03 Part 1 of 3 2.14 points Sopped Book Hind Priet References Total costs and expenses 672,993 Net income $ 35,421 Earnings per share 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. Debt Ratio Numerator: Denominator Current Year: 1 Year Ago: Equity Ratio Numerator Denominator: Current Year 1 Year Ago: 526,045 $ 32,982 $ 2.01 Debt Ratio - Debt ratio % - Equity Ratio Equity ratio 16