Need help on parts 1-5

Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. At December 31 Current Year 1 Year Ago 2 Years Ago Assets Cash $ 23,976 $ 28,308 $ 30,096 Accounts receivable, net 69,489 50,531 39, 727 Merchandise inventory 86,487 66, 118 42,305 Prepaid expenses 7,643 7,357 3,311 Plant assets, net 222,878 201,542 188,561 Total assets $ 410, 473 $ 353,856 $ 304,000 Liabilities and Equity Accounts payable $ 103,230 $ 60,998 $ 41,332 Long-term notes payable 77,941 79,759 69,200 Common stock, $10 par value 163,500 163,500 162,500 Retained earnings 65, 802 49,599 30,968 Total liabilities and equity $ 410,473 $ 353,856 $ 304,000 For both the current year and one year ago, compute the following ratios: Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as Express the balance sheets in common-size percents. (Do not round intermediate calculatio answers to 1 decimal place.) 59 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 Common stock, $10 par Retained earnings Total liabilities and equity % % % % es Complete this question by entering your answers in the tabs below. Required 1A Required 18 Required 2A Required 2B Compute the current ratio for each of the three years. 1 11 Numerator: Current assets Current Ratio Denominator: Current liabilities 11 / Current Year: 1 Year Ago: 2 Years Ago: Current Ratio Current ratio 0 to 1 oto 1 0 to 1 II Required 1A Required 13 > Compute the acid-test ratio for each of the three years. Acid-test ratio Numerator: - Short-term investments Denominator: Current liabilities Current receivables Acid-Test Ratio Acid-test ratio oto 1 oto 1 Oto 1 Cash ++ Current Year: 1 Year Ago: 2 Years Ago + Compute debt and equity ratio for the current year and one year ago. Debt Ratio 1 Denominator: Numerator: Debt Ratio Debt ratio 11 = Current Yer: 1 Year Ago: 0 % 0 % Equity Ratio Denominator: Numerator: 11 Equity Ratio Equity ratio Current Year: 1 = 0 % 0 % 1 Year Ago: 11 Debt-To-Equity Ratio 1 Denominator: Numerator: 11 Debt-To-Equity Ratio Debt-to-equity ratio 0 to 1 0 to 1 Current Year: 1 Year Ago: Times Interest Earned Numerator: Denominator: Times Interest Earned Times interest earned O times 1 1 Current Year: . - O times 1 1 Year Ago: Recured 28 Regulred 38