Simon Company's year-end balance sheets follow.

At December 31Current Yr1 Yr Ago2 Yrs AgoAssetsCash$36,725$42,928$42,968Accounts receivable, net106,44075,87659,026Merchandise inventory131,152101,25762,875Prepaid expenses11,94511,6074,871Plant assets, net336,196304,934268,660Total assets$622,458$536,602$438,400Liabilities and EquityAccounts payable$154,992$92,499$57,290Long-term notes payable secured by

mortgages on plant assets117,022123,41897,855Common stock, $10 par value162,500162,500162,500Retained earnings187,944158,185120,755Total liabilities and equity$622,458$536,602$438,400

(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?