! 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. Current Year 1 Year Ago 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 $ 25,533 70,376 91,221 7,820 229,332 $ 424,282 $ 28,676 50,694 66,312 7,681 212,397 $365,760 $ 29,873 41,441 42,849 3,453 187,184 $ 304,800 $ 108,816 80,563 163,500 71,403 $ 424,282 $ 62,432 81,601 163,500 58,227 $365,760 $ 39,429 68,708 162,500 34,163 $ 304,800 Exercise 13-6 (Algo) Common-size percents LO P2 1 Required information 18 points 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? eBook Complete this question by entering your answers in the tabs below. Cod Hint Req 1 Reg 2 and 3 Ask Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) Print . 2 Years Ago References % SIMON COMPANY Common-Size Comparative Balance Sheets December 31 Current Year 1 Year Ago 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 Retained earnings Total liabilities and equity % % %