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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
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 $ 27,184 80, 362 101,040 8, 754 243, 398 $ 460,738 $ 32,093 $ 33,089 56,718 41,977 72,745 47, 461 8,508 3,677 227, 124 198, 296 $ 397,188 $ 324,500 $ 114,724 $ 68,467 $ 41,977 88,351 162,500 95,163 $ 460,738 89,526 71,715 162,500 162,500 76,695 48,308 $ 397,188 $ 324,500 (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? X Answer is not complete. 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: Current Ratio Choose Numerator: Current assets Current liabilities Current Yr: Current ratio to 0 1 to 0 1 0 to 1 1 Yr Ago: 2 Yrs Ago: 1 Required 1A Required 1B > 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 $ 27,184 80, 362 101,040 8, 754 243, 398 $ 460, 738 $ 32,093 $ 33,089 56,718 41,977 72,745 47, 461 8,508 3,677 227,124 198, 296 $ 397,188 $ 324,500 $ 114,724 $ 68,467 $ 41,977 88,351 162,500 95,163 $ 460,738 89,526 71,715 162,500 162,500 76,695 48,308 $ 397,188 $ 324,500 (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? Answer is not complete. Complete this question by entering your answers in the tabs below. 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: Cash + Short-term investments Current receivables 1 Current liabilities + + 1 = Current Yr: 1 Yr Ago: 2 Yrs Ago: Acid-Test Ratio Acid-test ratio to 0 1 to 0 1 to 0 1 + + 1 = + + 1 =
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