Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Current Yr 1 Yr Ago 2 Yrs Ago $ 31,729 $ 37,463 $ 38,239 91,031 64,248 52,562 86,632 58,241 9,637 4,336 270,303 244,822 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 115,622 10,527 294,299 $ 543,208 $ 135,259 102,123 163,500 142,326 $ 543,208 $ 468,283 $ 398,200 $ 76,766 $ 52,562 105,551 163,500 122,466 90,642 163,500 91,496 $ 468,283 $ 398,200 1. Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) 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. Req 1 Req 2 and 3 Express the balance sheets in common-size percents. (Do not round intermediate calculations and round yo percentage answers to 1 decimal place.) SIMON COMPANY Common-Size Comparative Balance Sheets December 31 Current Year 1 Year Ago 2 Years Ago 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 Retained earnings Total liabilities and equity % % % % % % % % % Inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3 ige in chandise Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a p assets favorable or unfavorable? Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as total assets favorable or unfavorable? 2. Change in accounts receivable 3. Change in merchandise inventory