Required information [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 $ 31,800 $ 35,625 $ 37,800 Accounts receivable, net 89,500 62,500 50,200 Merchandise inventory 112,500 82,500 54,000 Prepaid expenses 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 98,500 101,500 83,500 Common stock, $10 par value 163,500 163,500 163,500 Retained earnings 131, 100 104,750 79,250 Total liabilities and $523,000 $445,000 $377,500 equity The company's income statements for the Current Year and 1 Year Ago, follow. Assume that all sales are on credit: 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 (2-a) Compute accounts receivable turnover. (2-b) For each ratio, determine if it improved or worsened in the current year. (2-a) Compute accounts receivable turnover. (2-b) For each ratio, determine if it improved or worsened in the current year. Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Required Required 2A 2B Compute accounts receivable turnover. Accounts Receivable Turnover Choose Numerator: 1 Choose Denominator: Average accounts Net sales 1 receivable, net $ 411,225 X 1 $ $ 345,500X1 $ Accounts Receivable Turnover Accounts receivable turnover = = 205,612.5 times Current Yr: 1 Yr Ago: = 172,750.0 times