Saved Exercise 13-9 Analyzing risk and capital structure LO P3 (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 $ 29, 490 82,086 108,528 9,403 265, 377 $494,884 $ 33,106 $ 34,500 59,727 45,999 81,293 51,484 9,138 3,949 243, 360 216,068 $ 426,624 $ 352,000 $124, 458 $ 72,820 $ 45,999 95, 829 162,500 112,097 $494,884 95,180 79,348 162,500 162,500 96,124 64,153 $ 426,624 $ 352,000 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 $643, 349 $392,443 199,438 10,937 8,364 611,182 $ 32,167 $ 1.98 1 Yr Ago $ 507,683 $329,994 128, 444 11,677 7,615 477,730 $ 29,953 Earnings per share $ 1.84 For both the Current Year and 1 Year Ago, compute the following ratios: (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 Agc Complete this question by entering your answers in the tabs below. Required 3A Required 3B Times interest earned Times Interest Earned Choose Numerator: 1 Choose Denominator: Times Interest Earned Times interest earned Current Year: 1 Year Ago: : times times Required 30 Exercise 13-9 Part 3 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 3A Required 38 Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Times interest eamed