[The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Current Year 1 Year Ago 2 Years Ago Assets Cash $ 30,201 $ 36,758 $ 37,531 Accounts receivable, net 92,043 65,599 48,540 Merchandise inventory 112,322 81,635 53,294 Prepaid expenses 10,227 9,649 4,128 Plant assets, net 282,914 261,279 235,607 Total assets $ 527,707 $ 454,920 $ 379,100 Liabilities and Equity Accounts payable $ 130,085 $ 76,113 $ 49,040 Long-term notes payable 100,201 103,585 84,619 Common stock, $10 par value 163,500 162,500 162,500 Retained earnings 133,921 112,722 82,941 Total liabilities and equity $ 527,707 $ 454,920, $379,100

(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?