! Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Current Year 1 Year Ago 2 Years Ago $ 41,721 73,750 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 Total liabilities and equity Retained earnings $ 35,692 101,358 134,007 11,726 328,285 $ 611,068 $ 155,199 117,178 163,500 175,191 96,480 11,062 303,770 $ 526,783 $ 86,356 122,372 163,500 154,555 $ 611,068 $ 526,783 For both the current year and one year ago, compute the following ratios: $ 42,616 55,696 61,126 4,829 261,933 $ 426,200 $ 54,571 97,016 162,500 112, 113 $ 426,200 Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below.