Simon Companys year-end balance sheets follow.

At December 31	Current Yr					1 Yr Ago			2 Yrs Ago
Assets
Cash		$	27,756			$	32,445		$	32,793
Accounts receivable, net			78,822				56,778			43,724
Merchandise inventory			101,147				74,271			47,036
Prepaid expenses			8,848				8,345			3,755
Plant assets, net			258,628				237,817			210,692
Total assets		$	475,201			$	409,656		$	338,000
Liabilities and Equity
Accounts payable		$	114,775			$	67,847		$	45,508
Long-term notes payable secured by mortgages on plant assets			89,338				95,163			76,192
Common stock, $10 par value			162,500				162,500			162,500
Retained earnings			108,588				84,146			53,800
Total liabilities and equity		$	475,201			$	409,656		$	338,000

The companys income statements for the Current Year and 1 Year Ago, follow.

For Year Ended December 31	Current Yr						1 Yr Ago
Sales				$	617,761					$	487,491
Cost of goods sold	$	376,834					$	316,869
Other operating expenses		191,506						123,335
Interest expense		10,502						11,212
Income tax expense		8,031						7,312
Total costs and expenses					586,873						458,728
Net income				$	30,888					$	28,763
Earnings per share				$	1.90					$	1.77

For both the Current Year and 1 Year Ago, compute the following ratios:

(1) Debt and equity ratios.

(2) Debt-to-equity ratio.

(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?

Debt Ratio Choose Numerator: Choose Denominator: = Debt Ratio Debt ratio 1 Current Year: 1 Year Ago: Equity Ratio 1 Choose Numerator: Choose Denominator: = Equity Ratio Equity ratio Current Year: 1 Year Ago: Debt-To-Equity Ratio Choose Numerator: Choose Denominator: = Debt-To-Equity Ratio Debt-to-equity ratio 0 to 1 0 to 1 Current Year: 1 Year Ago: Times Interest Earned Choose Numerator: I Choose Denominator: Times Interest Earned Times interest earned times times Current Year: 1 Year Ago: Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Times interest earned