Required information [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow 2017 2016 2015 At December 31 Assets Cash Accounts receivable, net 88,500 Merchandise inventory $ 31,600 35,500 38,200 49,500 63,500 111,000 82,800 55,000 5,000 281,000 251,500 228,000 $522,750 $442,600 $375,700 9,300 Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable 10,650 $129,200 $ 75,500 $ 50,600 secured by mortgages on plant assets Common stock, $10 pair value Retained earnings 95,000 98,500 82,400 161,000 161,000 161,000 ,700 $442,600 $375,700 137,550 107,600 81 equity The company's income statements for the years ended December 31, 2017 and 2016, follow For Year Ended December 31 Sales Cost sold other operating 202,500 expenses Interest expense Income taxes Total costs and expenses Net income 2017 2016 $675,000 $520,000 of goods $405,000 $332,800 124,800 12,500 8,925 11,600 9,500 628,600 $ 46,400 $ 2.88 479,025 $ 40,975 $ 2.55 Earnings per share Evaluate the company's efficiency and profitability by computing the following for 2017 and 2016 (1) Profit margin ratio. Profit Margin Ratio Profit Margin Ratio Choose Numerator: Choose Denominator: E Profit margi ratio 201 201 Required information [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow 2017 2016 2015 At December 31 Assets Cash Accounts receivable, net 88,500 Merchandise inventory $ 31,600 35,500 38,200 49,500 63,500 111,000 82,800 55,000 5,000 281,000 251,500 228,000 $522,750 $442,600 $375,700 9,300 Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Long-term notes payable 10,650 $129,200 $ 75,500 $ 50,600 secured by mortgages on plant assets Common stock, $10 pair value Retained earnings 95,000 98,500 82,400 161,000 161,000 161,000 ,700 $442,600 $375,700 137,550 107,600 81 equity The company's income statements for the years ended December 31, 2017 and 2016, follow For Year Ended December 31 Sales Cost sold other operating 202,500 expenses Interest expense Income taxes Total costs and expenses Net income 2017 2016 $675,000 $520,000 of goods $405,000 $332,800 124,800 12,500 8,925 11,600 9,500 628,600 $ 46,400 $ 2.88 479,025 $ 40,975 $ 2.55 Earnings per share Evaluate the company's efficiency and profitability by computing the following for 2017 and 2016 (1) Profit margin ratio. Profit Margin Ratio Profit Margin Ratio Choose Numerator: Choose Denominator: E Profit margi ratio 201 201