Simon Company's year-end balance sheets follow. At December 31 Current Yr 1 Yr Ago 2 Yrs Ago Assets Cash $ 29,015 $ 35,315 $ 36,786 Accounts receivable, net 86,696 61,801 47,106 Merchandise inventory 107,914 80,857 53,287 Prepaid expenses 9,826 9,087 4,047 Plant assets, net 273,544 250,005 226,674 Total assets $ 506,995 $ 437,065 $ 367,900 Liabilities and Equity Accounts payable $ 128,767 $ 73,125 $ 48,077 Long-term notes payable secured by mortgages on plant assets 95,315 100,525 82,119 Common stock, $10 par value 163,500 163,500 163,500 Retained earnings 119,413 99,915 74,204 Total liabilities and equity $ 506,995 $ 437,065 $ 367,900 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? Next Visit question mapQuestion 3 of 15 Total 3 of 15 Prev