Required information Skip to question [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 $ 30,889 $ 36,474 $ 36,519 Accounts receivable, net 94,092 65,120 50,167 Merchandise inventory 112,560 84,347 52,380 Prepaid expenses 10,353 9,575 4,017 Plant assets, net 286,325 265,018 229,517 Total assets $ 534,219 $ 460,534 $ 372,600 Liabilities and Equity Accounts payable $ 137,011 $ 78,609 $ 49,675 Long-term notes payable 103,446 105,923 82,345 Common stock, $10 par value 162,500 162,500 162,500 Retained earnings 131,262 113,502 78,080 Total liabilities and equity $ 534,219 $ 460,534 $ 372,600 For both the current year and one year ago, compute the following ratios: The companys income statements for the current year and one year ago, follow. For Year Ended December 31 Current Year 1 Year Ago Sales $ 694,485 $ 548,035 Cost of goods sold $ 423,636 $ 356,223 Other operating expenses 215,290 138,653 Interest expense 11,806 12,605 Income tax expense 9,028 8,221 Total costs and expenses 659,760 515,702 Net income $ 34,725 $ 32,333 Earnings per share $ 2.14 $ 1.99 (1) Debt and equity ratios. (2-a) Compute debt-to-equity ratio for the current year and one year ago. (2-b) Based on debt-to-equity ratio, does the company have more or less debt in the current year versus one year ago? (3-a) 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?