Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago 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 $ 27,962 80, 247 97,898 8,916 249,610 $ 464,633 $ 33,005 $ 34,057 56,637 44,959 71,878 47,882 8,580 3,784 230, 446 209,918 $ 400,546 $ 340,600 $ 115,694 $ 69,046 $ 44,060 87,351 162,500 99,088 $ 464,633 90,283 162,500 78,717 $ 400,546 74,520 162,500 59,520 $ 340, 600 (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 Numerator: 1 Choose Denominator: Current Ratio / Current ratio to 1 Current Yr: 1 = = to 1 1 Yr Ago: 2 Yrs Ago: 1 1 to 1 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: + to 1 1 / + + + + 1 Yr Ago: 2 Yrs Ago: to 1 + / = to 1 Required 1A Required 1B Required 2A Required 2B Did the acid-test ratio improve or worsen over the three year period? Acid-test ratio