Exercise 13-8 Analyzing and interpreting liquidity LO P3 [The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses 114,000 Current Yr 1 Yr Ago 2 Yra Ago $ 29,964 89,600 $ 35,025 5 35,067 51,500 62,100 82,500 51,000 9,649 9,194 Plant assets, net 249,857 236,241 3,896 202,437 Total assets $493,070 $425,060 $343,900 Liabilities and Equity Accounts payable $126,458 $73,990 $ 46,757 Long-term notes payable secured by mortgages on plant assets 95,478 Common stock, $10 par value 162,500 Retained earnings Total liabilities and equity 108,634 5493,070 100,697 78,282 162,500 162,500 87,873 56,361 $425,060 $343,900 The company's income statements for the Current Year and 1 Year Ago, follow. Assume that all sales are on credit For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total coata and expenses Net income Earnings per share Exercise 13-8 Part 1 Current Yr 1 Yr Ago 5 640,991 $ 505,821 $ 391,005 198,707 10,897 8,333 $320,784 127,973 11,634 7,587 608,942 32,049 1.97 475,978 5 29,843 1.84 1-a) Compute days' sales uncollected. 1-b) For each ratio, determine if it improved or worsened in the current year Complete this question by entering your answers in the tabs below. Required 1A Required 18 Compute days' sales uncollected. Days' Sales Uncollected Choose Denominator: x365 x Days Days' Sales Uncollected =Days' Sales Uncollected x 0days = Odays Choose Numerator: Accounts receivables, net Net sales Current Yr: 1 Yr Ago