Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago $ 37, 398 185,139 140,370 11,923 339, e36 $633,866 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 $ 44,152 $ 43,768 77,266 58,941 100, 288 64,662 11,590 4,912 313, 348 269,817 $ 546,436 $ 442,100 $156,254 $ 91,424 $ 57,774 117,975 162,500 197, 137 $633,866 125, 688 96,727 162,588 162,5ee 166,832 125,699 $546,436 $ 442,100 The company's Income statements for the Current Year and 1 Year Ago follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share Current Yr $824,626 $502,656 255, 448 14, ees 10,712 782,824 $ 41,202 1 Yr Ago $ 650, 259 $422,668 164,516 14,956 9,754 611,894 $ 38,365 $ 2.36 $ 2.54 For both the current Year and 1 Year Ago, compute the following ratios: (1) Debt and equity ratios. Debt Ratio Choose Numerator: Choose Denominator: = Debt Ratio Debt ratio = Current Year: 1 Year Ago: Equity Ratio Choose Numerator: 1 Choose Denominator: = Equity Ratio = Equity ratio = % 1 Current Year: 1 Year Ago: 1 = % (2) Debt-to-equity ratio. 11 Debt-To-Equity Ratio Choose Numerator: 1 Choose Denominator: 1 1 1 Debt-To-Equity Ratio Debt-to-equity ratio 0 to 1 0 to 1 11 Current Year: 1 Year Ago: = = II Required 3A Required 33 Times interest earned. Times Interest Earned Choose Numerator: 1 Choose Denominator: 1 Times Interest Eamed Times interest earned = times Current Year: 1 Year Ago: 1 = times