Simon Company's year-end balance sheets follow.

At December 31	Current Yr				1 Yr Ago			2 Yrs Ago
Assets
Cash		$	35,421		$	41,403		$	43,551
Accounts receivable, net			103,697			75,383			55,813
Merchandise inventory			131,683			99,614			58,829
Prepaid expenses			11,752			11,198			4,839
Plant assets, net			323,860			295,172			264,068
Total assets		$	606,413		$	522,770		$	427,100
Liabilities and Equity
Accounts payable		$	147,977		$	89,232		$	58,069
Long-term notes payable secured by mortgages on plant assets			110,585			117,832			91,557
Common stock, $10 par value			163,500			163,500			163,500
Retained earnings			184,351			152,206			113,974
Total liabilities and equity		$	606,413		$	522,770		$	427,100

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?

Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final 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		%		%		%