! Required information (The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. Current Year 1 Year Ago 2 Years Ago At December 31 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 value Retained earnings Total liabilities and equity $ 30,492 88,377 108,938 9,916 268,965 $ 506,688 $ 34, 245 61,152 78,384 9,173 253, 846 $ 436,800 $ 35,315 48,048 52,722 3,924 223,991 $ 364,000 $ 128,689 96,210 162,500 119,289 $ 506,688 $ 72,343 99,459 163,500 101,498 $ 436,800 $ 47,568 82,857 163,500 70,075 $ 364,000 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 percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Reg 1 Req 2 and 3 uJuriUvUIUVIL VI IUVIUVIU. Required information virpur - Yu-CUI ILIY your urren - CITY - IV Reg 1 Req 2 and 3 Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) 2 Years Ago % SIMON COMPANY Common-Size Comparative Balance Sheets December 31 Current Year 1 Year 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 % % % % % Req 1 Req 2 and 3 >