Exercise 13-6 Common-size percents LO P2 Simon Company's year-end balance sheets follow, Current y 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 Comon stock, $10 par value Retained earnings Total liabilities and equity $ 37,524 106,623 134,058 11,847 333,474 $ 623,526 $ 44,292 $ 43,467 76,006 56,786 96,458 62,977 11,280 4,781 309.478 275,489 $ 537,5221 $ 443,500 $ 156,811 $ 91,750 $ 57,957 120.740 163,500 182,475 $ 623,526 121.157 99,974 163,500 163,500 161,123 122,069 $ 537,522 $ 40,500 1. Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets fovorable or unfavorable? Complete this question by entering your answers in the tabs below. Reg 1 Req 2 and 3 Express the balance sheets in common-size percents. (Do not round Intermediate calculations and round your final percentage answers to 1 decimal place.) SIMON COMPANY Common-Size Comparative Balance Sheets December 31 Current Year 1 Year Ago 2 Years Ago Assets Cash % % % Accounts receivable, net Merchandise inventory Prepaid expenses Piant assets, net Total assets % % Liabilities and Equity Accounts payablo % % % Long-term notes payablo secured by mortgages on plant assets Common stock. $10 par Retained earnings Total liabilities and equity % % % RA Req 2 and 3 > Complete this question by entering your answers in the tabs below. Req 1 Reg 2 and 3 Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Show less 2. Change in accounts receivable 3. Change in merchandise inventory