Required information Exercise 17-9 Analyzing risk and capital structure 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 Current Yn 1 Yr Ago 2 Yrs Ago $ 31,800 $ 35,625 $ 37,800 89,500 62,500 50,200 112,500 82,500 54,000 10,700 9,375 5,000 Plant assets, net 278,500 255,000 230,500 Total assets $523,000 $445,000 $377,500 Liabilities and Equity Accounts payable $129,900 $ 75,250 $ 51,250 Long-term notes payable secured by mortgages on plant assets 98,500 Common stock, $10 par value 163,500 Retained earnings Total liabilities and equity 83,500 163,500 163,500 131,100 104,750 79,250 $523,000 $445,000 $ 377,500 101,500 For Year Ended December 31 Sales Cost of goods sold The company's income statements for the current year and 1 year ago, follow. Current Yr $673,500 1 Yr Ago $345,500 $ 532,000 $411,225 Other operating expenses 209,550 Interest expense 12,100 Income tax expense 9,525 134,980 13,300 8,845 Total costs and expenses Net income 642,400 $ 31,100 502,625 $ 29,375 Earnings per share $ 1.90 $ 1.80 For both the Current Year and 1 Year Ago, compute the following ratios: For both the Current Year and 1 Year Ago, compute the following ratios: Exercise 17-9 Part 3 (3-6) Times interest earned. (3-b) Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 3A Required 38 Times interest earned. Current Year: 1 Year Ago: Times Interest Earned Choose Numerator: Choose Denominator: Required 3A Required 38 > Times Interest Earned Times interest earned times times (3-0) Times interest earned. (3-b) Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 3A Required 38 Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Times interest camed ht < Required 3A Pagina 1 >