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Simon Companys year-end balance sheets follow. At December 31 2017 2016 2015 Assets Cash $ 26,403 $ 29,364 $ 29,991 Accounts receivable, net 73,552 52,436
Simon Companys year-end balance sheets follow.
At December 31 | 2017 | 2016 | 2015 | ||||||
Assets | |||||||||
Cash | $ | 26,403 | $ | 29,364 | $ | 29,991 | |||
Accounts receivable, net | 73,552 | 52,436 | 40,392 | ||||||
Merchandise inventory | 96,214 | 70,676 | 43,017 | ||||||
Prepaid expenses | 8,255 | 7,944 | 3,467 | ||||||
Plant assets, net | 230,047 | 214,124 | 189,133 | ||||||
Total assets | $ | 434,471 | $ | 374,544 | $ | 306,000 | |||
Liabilities and Equity | |||||||||
Accounts payable | $ | 107,101 | $ | 64,564 | $ | 40,392 | |||
Long-term notes payable secured by mortgages on plant assets | 82,497 | 84,422 | 66,273 | ||||||
Common stock, $10 par value | 162,500 | 162,500 | 162,500 | ||||||
Retained earnings | 82,373 | 63,058 | 36,835 | ||||||
Total liabilities and equity | $ | 434,471 | $ | 374,544 | $ | 306,000 | |||
1. Compute the current ratio for the year ended 2017, 2016, and 2015. 2. Compute the acid-test ratio for the year ended 2017, 2016, and 2015.
Current Ratio | ||||||
Choose Numerator: | / | Choose Denominator: | = | Current Ratio | ||
Current assets | / | Current liabilities | = | Current ratio | ||
2017: | / | = | 0 | to 1 | ||
2016: | / | = | 0 | to 1 | ||
2015: | / | = | 0 | to 1 |
Acid-Test Ratio | ||||||||||
Choose Numerator: | / | Choose Denominator: | = | Acid-Test Ratio | ||||||
+ | + | / | = | Acid-test ratio | ||||||
2017: | + | + | / | = | 0 | to 1 | ||||
2016: | + | + | / | = | 0 | to 1 | ||||
2015: | + | + | / | = | 0 | to 1 |
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