Help Seve Exit Simon Company's year-end balance sheets follow Check Current Y 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 28,758 84,176 184,797 9,353 255, 520 $ 482,604 $32,950 $ 35.916 58,828 45,302 75,428 50,723 8,824 3,968 240.008 215,191 5 416,038 $ 350,200 $ 123,773 $ 69,687 $ 44,840 91,637 163, see 103,694 $ 482,664 94,732 76,620 163,500 163,500 88,199 65,240 $ 416,038 $ 350,200 1. Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) 2. 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? 3. 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? h O ** TRIUNIERIME MIN 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 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 % de % Reg 2 and 3 >