Required information [The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. 2 Years Ago At December 31 Assets Cash 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 Current Year 1 Year ago $ 24,932 $ 30,333 75,947 50,480 94,562 70.145 8,357 7,884 227.403 212,883 $ 431,201 $ 371,725 $ 31,597 41,716 43,987 3,545 192,055 $ 312,900 $ 106,295 80,255 163,500 81.151 $ 431, 201 $ 62,193 85,497 162,500 61.535 $ 371,725 5 41,303 70.534 162.500 38.56) $ 312,900 For both the current year and one year age, compute the following ratios: income statements for the current year and one year ago, follow. Check my work The company's income statements for the current year and one year ago, follow, of 6 For Year Ended December 31 Sales Cost of goods sold other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share Current Year $ 560,561 $ 341,942 173, 774 9,530 2.287 532,533 $ 28,028 $ 1.72 1 year ago $ 442,353 $ 287,529 111.915 10,174 416,253 26.100 5.1.61 bol ant (1) Debt and equity ratios. (2-a) Compute debt-to-equity ratio for the current year and one year ago (2-b) Based on debt-to-equity ratio, does the company have more or less debt in the current year versus one year ago? ances (3-a) Times interest earned. (3-b) Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Complete this question by entering your answers in the tabs below. Required 1 Required 2A Required 28 Required 3A Required 38 Compute debt and equity ratio for the current year and one year ago Debt Ratio Numarator: Denominator Debt Ratio Debt ratio Current Year: 1 Year Ago: Equity Ratio Numerator: Denominator Equity Ratio Equity ratio % % Current Year: 1 Year Ago: vr ROL Required 2A > 7 8 9