Simon Companys year-end balance sheets follow.

At December 31	Current Yr				1 Yr Ago			2 Yrs Ago
Assets
Cash		$	30,482		$	34,939		$	36,038
Accounts receivable, net			84,058			61,749			48,051
Merchandise inventory			105,687			79,997			51,691
Prepaid expenses			9,340			8,990			4,126
Plant assets, net			272,034			246,740			227,794
Total assets		$	501,601		$	432,415		$	367,700
Liabilities and Equity
Accounts payable		$	123,650		$	75,270		$	49,022
Long-term notes payable secured by mortgages on plant assets			95,244			97,466			82,074
Common stock, $10 par value			162,500			162,500			162,500
Retained earnings			120,207			97,179			74,104
Total liabilities and equity		$	501,601		$	432,415		$	367,700

(1-a) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three year period?

Required 1A Required 1B Required 2A Required 2B Compute the current ratio for each of the three years. Current Ratio 7 Choose Denominator: | Current liabilities Choose Numerator: Current assets = Current Yr: 1 Yr Ago: 2 Yrs Ago: Current Ratio Current ratio 0 to 1 0 to 1 0 to 1 1 = Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B Did the current ratio improve or worsen over the three year period? Current ratio Required 1A Required 1B Required 2A Required 2B Compute the acid-test ratio for each of the three years. Acid-test ratio Choose Numerator: 1 Choose Denominator: + = Acid-Test Ratio Acid-test ratio 0 to 1 0 to 1 0 to 1 Current Yr: 1 Yr Ago: 2 Yrs Ago: + + + Required 1A Required 1B Required 2A Required 2B Did the acid-test ratio improve or worsen over the three year period? Acid-test ratio