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Required information 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.

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Required information 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 Current yr 1 Yr Ago 2 Yrs Ago Assets Cash $ 31,040 $ 36,283 $ 37,046 Accounts receivable, net 89, 100 62,200 50,000 Merchandise inventory 112,500 84,000 54,000 Prepaid expenses 9,996 9,524 4,116 Plant assets, net 278,257 257,039 225, 338 Total assets $520,893 $ 449,046 $ 370,500 Liabilities and Equity Accounts payable $130,999 $ 76,648 $ 49,395 Long-term notes payable secured by mortgages on plant assets 98,907 104,313 82,699 Common stock, $10 par value 162,500 162,500 162,500 Retained carnings 128,487 105,585 75,906 Total liabilities and equity $520,893 $ 449,046 $ 370,500 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 Current Yr 1 Yr Ago Sales $ 677,161 $ 534,365 Cost of goods sold $ 413,068 $ 347,337 Other operating expenses 209,920 135,194 Interest expense 11,512 12,290 Income tax expense 8,803 8,015 Total costs and expenses 643, 303 502,836 Net income $ 33,858 $ 31,529 Earnings per share 2.08 $ 1.94 $ (2-a) Compute accounts receivable turnover. (2-6) 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 2A Required 28 Compute accounts receivable turnover. Accounts Receivable Turnover 1 Choose Denominator Choose Numerator: Accounts Receivable Turnover Accounts receivable turnover times times Current Yr: 1 Yr Ago: (2-a) Compute accounts receivable turnover. 12-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 2A Required 28 For each ratio, determine if it improved or worsened in the current year. Accounts receivable turnover

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