Simon Company's year-end balance sheets follow.

At December 31	Current Yr				1 Yr Ago			2 Yrs Ago
Assets
Cash		$	35,149		$	41,501		$	43,226
Accounts receivable, net			102,901			72,626			57,634
Merchandise inventory			126,791			93,091			60,159
Prepaid expenses			11,548			10,894			4,755
Plant assets, net			325,373			300,648			266,526
Total assets		$	601,762		$	518,760		$	432,300
Liabilities and Equity
Accounts payable		$	148,340		$	86,794		$	55,922
Long-term notes payable secured by mortgages on plant assets			113,131			122,894			97,449
Common stock, $10 par value			163,500			163,500			163,500
Retained earnings			176,791			145,572			115,429
Total liabilities and equity		$	601,762		$	518,760		$	432,300

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?