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Required information [The following information applies to the questions displayed below] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Current Year
Required information [The following information applies to the questions displayed below] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Current Year 1 Year Ago 2 Years Ago 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. $ 34,609 101,301 121,123 11,145 312,607 $ 580,705 $ 147,508 110,279 163,500 $ 40,455 70,095 90,773 10,304 289,050 $ 500,677 $87,153 115,156 163,500 134,868 159,498 $ 580,785 $ 500,677 For both the current year and one year ago, compute the following ratios: $ 40,488 53,439 58,660 4,544 255,969 $ 413,100 $ 53,984 89,469) 163,500 106,147 $ 413,100 (1-e) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three-year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three-year period? Complete this question by entering your answers in the tabs below.
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