Exercise 13-6 Common-size percents LO P2 Simon Company's year-end balance sheets follow. Current Yr 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 Common stock, $10 par value Retained earnings Total liabilities and equity $ 34,063 96,731 122,875 10,970 318,537 $ 583,176 $ 40,219 $ 41,476 71,087 55,849 94,867 57,724 10,769 4,426 285,796 255,325 $ 502,738 $ 414,800 $ 146,663 85,812 54,754 109,637 163,500 163,376 $ 583,176 114,473 93,504 163,500 163,500 138,953 103,042 $ 502,738 $ 414,800 1. Express the balance sheets in common-size percents. (Do not round intermediate calculations answers to 1 decimal place.) 2. Assuming annual sales have not changed in the last three years, is the change in accounts rec assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Req 1 Reg 2 and 3 Express the balance sheets in common-size percents. (Do not round intermediate calculations and ro 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 % 34,063.0 % 36,038.7% 96,731.0 112,788.3 122,875.0 148,801.6 10,970.0 11,167.5 318,537.0 492,458.2 583,176.0 % % % 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 Common stock, $10 par Retained earnings Total liabilities and equity 146,663.01% % % 109,637.0 163,500.0 163,376.0 583,176.0 % % %