Required information Exercise 13-10 Analyzing efficiency and profitability LO P3 [The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago $ 30,200 86,900 110,500 10,450 276,000 $514,050 $ 35,750 $ 37,800 63,500 51,000 83,400 53,500 9,450 4,800 253,500 228,000 $445,600 $ 375,100 At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total asset Liabilities and Equity Accounts payable Long-term notes payable secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total 1labilities and equity $128,800 $ 72,000 $50, 800 96,500 161,000 127,750 $514,050 101,250 82,400 161,000 161,000 111,350 80,900 $445,600 5 375, 100 The company's income statements for the Current Year and 1 Year Ago, follow, For Year Ended December 31 Current Yr 1 Yr Ago Sales $715,000 $ 560,000 Cost of goods sold $414,700 $352,800 Other operating expenses 221,650 140,000 Interest expense 11,600 13,100 Income tax expense 9.550 8.550 Total costs and expenses 657,500 514,450 Net income $57,500 $ 45,550 Earnings per share $ 3.57 $ 2.83 For both the Current Year and 1 Year Ago, compute the following ratios: (3-a) Return on total assets. (3-b) Based on return on total assets, did Simon's operating efficiency improve or worsen in the Current Year versus 1 Year Complete this question by entering your answers in the tabs below. Required 3A Required 3B Return on total assets Return On Total Assets Choose Numerator: Choose Denominator: Retum On Total Assets Return on total assets % Current Year: 1 Year Ago: %6 Required 30 > (3-a) Return on total assets. (3-b) Based on return on total assets, did Simon's operating efficiency improve or worsen th the Current Year versus 1 Complete this question by entering your answers in the tabs below. Required 3A Required 38 Based on return on total assets, did Simon's operating efficiency improve or worsen in the Current Year versus 1 Year Ago? Rotum on total assets