[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 $ 29,120 $ 34,039 $ 34,414 Accounts receivable, net 89,700 62,500 50,500 Merchandise inventory 15,00 83,500 52,000 Prepaid expenses 9,378 8,935 3,824 Plant assets, net 240,683 228,165 200,062 Total assets $ 483,881 $ 417,139 $ 340,800 Liabilities and Equity Accounts payable $ 122,896 $ 71,906 $ 45,885 Long-term notes payable 92,789 97,861 76,823 Common stock, $10 par value 162,500 62,500 62,500 Retained earnings 105,696 84,872 55,592 Total liabilities and equity $ 483,881 5 417,139 $ 340,800 The company's income statements for the current year and one year ago follow. Assume that all sales are on credit: For Year Ended December 3 Current Year 1 Year Ago Sales $ 629,045 $ 496,395 Cost of goods sold $ 383,717 $ 322,657 Other operating expenses 195,004 125,588 Interest expense 10,694 11,417 Income tax expense 8,178 7,446 Total costs and expenses 597,593 467,108 Net income $ 31,452 $ 29,287 Earnings per share $ 1.94 $ 1.80 8. Award: 2.00 points (3-a) Compute inventory turnover. (3-b) For each ratio, determine if it improved or worsened in the current year. Complete this question by entering your answers in the tabs below. Required 3A Required 3B Compute inventory turnover. Inventory Turnover Numerator: Denominator: Inventory Turnover Average inventory / Average inventory Inventory turnover Current Year: times 1 Year Ago: times