Required information [The following Information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Current Year 1 Year Ago 2 Years Ago Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses $ 26,279 76,164 $ 30,115 $ 30,746 51,648 41,822 95,762 69,641 45,436 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 8,142 216,894 For both the current year and one year ago, compute the following ratios: $ 313,700 $ 42,651 70,021 162,500 38,528 $ 313,700 8,214 230,251 3,485 192,211 $ 436,670 $ 376,440 $ 106,556 80,452 162,500 87,162 $ 64,891 87,447 163,500 60,602 $ 436,670 $ 376,440 $ 447,964 The company's Income statements for the current year and 1 year ago, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense 1 Year Ago Current Year $ 567,671 $ 346,279 175,978 9,650 7,380 $ 291,177 113,335 10,303 6,719 Total costs and expenses Net income 539,287 $ 28,384 421,534 $ 26,430 Earnings per share $ 1.75 For both the Current Year and 1 Year Ago, compute the following ratios: (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? (2) Total asset turnover. (3-a) Return on total assets. $ 1.63 (3-b) Based on return on total assets, did Simon's operating efficiency Improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2 Required 3A Required 38 Compute profit margin ratio for the current year and one year ago. Current Year: 1 Year Ago: Numerator: Profit Margin Ratio Denominator: 1 = Profit Margin Ratio Profit margin ratio 1 1 < Required 1A Required 1B > = % %