Required information [The following information applies to the questions displayed below. Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs 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 secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 30,800 86,700 112,500 11,000 280,000 $521,000 $ 35,500 $ 38,000 61,500 50,500 82,000 53,500 9,300 4,000 251,500 225,000 $439,800 $ 371,000 $129,600 $ 74,250 $ 50,200 97,500 162,500 131,400 $521,000 99,500 82,600 162,500 162,500 103,550 75,700 $439,800 $ 371,000 The company's income statements for the Current Year and 1 Year Ago, follow. 1 Yr Ago $ 570,000 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 Yr $ 745,000 $461,900 238,400 11,400 9,600 721,300 $ 23,700 $ 1.46 $353,400 136,800 12,900 8,800 511,900 $ 58,100 $ 3.58 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? Required information [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs 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 secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity $ 30,800 86,700 112,500 11,000 280,000 $521,000 $ 35,500 $ 38,000 61,500 50,500 82,000 53,500 9,300 4,000 251,500 225,000 $439,800 $ 371,000 $129,600 $ 74,250 $ 50,200 97,500 162,500 131,400 $521,000 99,500 162,500 103,550 $439,800 82,600 162,500 75,700 371,000 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 Total costs and expenses Net income Current Yr $ 745,000 $461,900 238,400 11,400 9,600 721,300 $ 23,700 1 Yr Ago $ 570,000 $353,400 136,800 12,900 8,800 511,900 $ 58,100 $ 3.58 Earnings per share $ 1.46 For both the Current Year and 1 Year Ago, compute the following ratios: (2) Total asset turnover. Required information [The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago $ 30,800 86,700 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 secured by mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity 112,500 11,000 280,000 $521,000 $ 35,500 $ 38,000 61,500 50,500 82,000 53,500 9,300 4,000 251,500 225,000 $439,800 $ 371,000 $129,600 $ 74,250 $ 50,200 97,500 162,500 131,400 $ 521,000 99,500 162,500 103,550 $439,800 82,600 162,500 75,700 371,000 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 Total costs and expenses Net income Earnings per share urrent Yr $ 745,000 $461,900 238,400 11,400 9,600 721,300 $ 23,700 1.46 1 Yr Ago $ 570,000 $353,400 136,800 12,900 8,800 511,900 $ 58,100 $ 3.58 For both the Current Year and 1 Year Ago, compute the following ratios: (3-a) Return on total assets. (3-b) Based on return on total assets, did Simon's operating efficiency improve or worsen in the Current Year versus 1 Year Ago