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Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago $ 34,495 97,997 125, 701 10.999 309,677 $ 578,869 $ 39,922
Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago $ 34,495 97,997 125, 701 10.999 309,677 $ 578,869 $ 39,922 $ 40,766 70,562 53,816 90,473 57,893 10,375 4,530 287,693 250,695 $ 499,025 $ 407,700 At December 31 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 value Retained earnings Total liabilities and equity $ 139,814 $ 83,492 $ 53,816 108,827 162,500 167,728 $ 578,869 111,332 91,003 162,500 162.500 141, 701 100, 381 $ 499,025 $ 407,700 (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? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B Compute the current ratio for each of the three years. Current Ratio Choose Denominator: 1/ Current liabilities = Choose Numerator: Current assets Current Ratio Current Current Yr: 1 Yr Ago: 2 Yrs Ago: I Required 1A Required 10 > 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 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
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