Required 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 Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable Current Year 1 Year Ago 2 Years Ago $ 33,190 94,308 $ 38,035 $38,439 65,896 52,821 118,575 85,318 56,823 4,402 $ 551,510 $ 134,579 104,721 163,500 148,710 $ 551,510 $ 475,440 Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity 10,688 294,749 10,084 276,107 $:475,440 $ 81,153 108,258 163,500 122,529 For both the current year and one year ago, compute the following ratios: Exercise 13-9 (Algo) Analyzing risk and capital structure LO P3 243,715 $ 396,200 The company's income statements for the current year and one 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 Current Year $ 437,347 222,259 12,188 9,321 $52,298 85,909 163,500 94,593 $ 396,200 1 Year Ago $ 565,774 $ 716,963 $367,753 143,141 13,013 8,487 681,115 $ 35,848 $2.21 532,394 $ 33,380 $2.05 (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? (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. Required 1 Required 2A Required 28 Required JA Required 38 Compute debt and equity ratio for the current year and one year ago.