Required information [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 $ 31,800 $ 35,625 $ 37,800 89,500 62,500 50,200 112,500 82,500 54,000 10,700 9, 375 5,000 278,500 255,000 230,500 $523,000 $445,000 $377,500 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 secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $129,900 $ 75,250 $ 51,250 98,500 101,500 83,500 163,500 163,500 163,500 131, 100 104,750 79,250 $523,000 $445,000 $377,500 The company's income statements for the current year and 1 year ago, follow. 1 Yr Ago $532,000 $345,500 For Year Ended Current Yr December 31 Sales $673,500 Cost of goods sold $411,225 Other operating 209,550 expenses Interest expense 12,100 Income tax 9,525 expense Total costs and 642,400 expenses Net income $ 31, 100 Earnings per $ 1.90 share 134,980 13,300 8,845 502,625 $ 29, 375 $ 1.80 For both the Current Year and 1 Year Ago, compute the following ratios: (1) Debt and equity ratios. (1) Debt and equity ratios. Choose Numerator: 1 Debt Ratio Choose Denominator: Total assets = Debt Ratio Total liabilities / II Debt ratio 1 II 0 % Current Year: 1 Year Ago: / 0 % Equity Ratio Choose 1 Denominator: 1 Total assets Choose Numerator: Total equity II Equity Ratio Equity ratio II 1 0 % Current Year: 1 Year Ago: / = 0 %