Required Information [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 Plant assets, net Total assets Liabilities and Equity Current Year 1 Year Ago 2 Years Ago $42,918 62,000 84,500 $ 36,716 89,500 113,500 11,824 352,646 $ 684,186 Accounts payable Long-term notes payable Common stock, $10 par value $ 154,956 116,995 162,500 Retained earnings 169,735 Total liabilities and equity $ 684,186 11,266 328,166 $ 528,858 $ 98,664 123,389 162,500 144,297 $ 528,850 $ 42,978 51,100 51,000 4,774 271,556 $ 421,400 $ 57,294 95,923 162,580 105,683 $421,400 The company’s income statements for the current year and one year ago follow. Assume that all sales are on credit: For Year Ended December 31 Sales Cost of goods sold 1 Year Ago $ 619,812 Current Year $ 785,442 $479,120 Other operating expenses 243,487 Interest expense 13,353 Income tax expense 18,211 Total costs and expenses 746,171 Net income Earnings per share $ 39,271 $2.42 $ 402,878 156,812 14,256 9,297 583,243 $ 36,569 $2.25 (3-a) Compute inventory turnover. (3-b) For each ratio, determine if it improved or worsened in the current year. Complete this question by entering your answers in the tabs below. Required 3A Required 3B Compute inventory turnover. Current Year: 1 Year Ago: Inventory Turnover Numerator: Denominator: = Inventory Turnover = Inventory turnover times = times Required 34 Required 3B >