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 $ 35,932 195, 195 133,585 11,338 329, 125 $615,175 $ 42,426 $ 43,752 73,583 60,193 98,110 64,823 11,137 4,918 305, 147 273,612 $530,323 $ 446,480 $157,774 $ 99,521 $ 58,336 114,496 162,500 180, 405 $615,175 121,974 96,681 162,580 162,500 155,328 128,883 $530,323 $ 446,400 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 Current Yr $799,728 $487,834 247,916 13,595 10,396 759,741 $ 39,987 1 Yr Ago $ 631,884 $410, 205 159,664 14,515 9,466 593,850 $ 37,234 Net income Earnings per share $ 2.46 $ 2.29 For both the Current Year and 1 Year Ago, compute the following ratlos: Exercise 13-9 Part 1 (1) Debt and equity ratlos. Debt Ratio Choose Numerator: 1 1 Choose Denominator: Debt Ratio Debt ratio = %6 Current Year: 1 Year Ago: II Equity Ratio Choose Numerator: 1 Choose Denominator: 1 = Equity Ratio Equity ratio 96 Current Year: 1 = 1 Year Ago: 1 = %6 (2) Debt-to-equity ratlo. Debt-To-Equity Ratio Choose Numerator: 1 Choose Denominator: 1 = Debt-To-Equity Ratio Debt-to-equity ratio 0 to 1 Current Year: 1 = = 1 Year Ago: 0 to 1 (3-a) Times Interest earned. (3-b) Based on times Interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 3A Required 38 Times interest earned. Times Interest Earned Choose Numerator: 1 Choose Denominator: III Times Interest Earned Times interest earned 1 Current Year: ! = times 1 Year Ago: / times