[The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow At Assets Cash Accounts receivable, net Nerchandise inventory Prepaid expensers Plant assets, net Total assets s 30,202 $ 33,905 36,046 85,801 61,780 49,022 110,05780,022 53,253 9,7269,359 3,965 271,041 251,854 221,814 $506, 827 $436,920 $364,100 Liabilities and Equity Accounts payable Long-term notes payable secured by $126,200 $ 73,101 S 47,100 98,142 101,497 78,857 162, 500 162,500 162,500 99,822 75.643 506, 827 $436,920 $364,100 mortgages on plant assets Common stock, $10 par value 119,985 Total iiabilities and equity The company's income statements for the years ended December 31, 2017 and 2016, follow. 1H 2017 2016 For Year Ended December 3 Sales Cost of goods sold Other operating expenses Interest expense Incone taxes Total costs and expenscs 658,875 $519,935 $401,914 204,251 11,201 8,565 $337,958 131,544 11,959 7,799 625,931 s 32,944 $2.03 489,260 $ 30,675 $1.89 Net income Earnings per share Calculate the company's long-term risk and capial structure positions at the end of 2017 and 2016 by computing ti following ratios Exercise 13-9 Part 3 (3) Times interest earned. Times Interest Earned Times Interest Choose Numerator: Choose Denominator: Times interest earned 2017: times 2016 times The following information applies to the questions displayed below.) Simon Company's year-end balance sheets follow. At Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets s 30,200 36,250 38,200 89,600 64,000 51,000 112,500 82,000 53,000 10,450 9,500 4,200 281,000 255,000 233,000 $523,750 $446,750 $379,400 Liabilities and Equity Accounts payable Long-term notes payable secured by $130,000 $ 73,250 $ 50,600 mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity 98,000 99,000 83,600 163,000 163,000 163,000 132,750 111,50082,200 $523,750 $446,750 $379,400 The compan's income statements for the years ended December 31, 2017 and 2016, follow. For Year Ended December 312017 Sales Cost of goods sold Other operating expenses Interest expense Income taxes Total costs and expenses 2016 $755,000 $570,000 $460,550 226,500 11,800 $359,100 136,800 12,600 8,975 708, 150 $46,850 517,475 52,525 $ 3.22 Net income Earnings per share $ 2.87 Evaluate the company's efficiency and profitability by computing the following for 2017 and 201 Exercise 13-10 Part 1 (1) Profit margin ratio. - Profit Margin Choose Numerator: Choose Denominator Profit margin ratio 2017 2016 Exercise 13-10 Efficiency and profitability analysis LO P3 The following information applies to the questions displayed below] Simon Company's year-end balance sheets follow. Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets s 30,200 36,250 $ 38,200 89,600 64,000 51,000 112,500 82,000 53,000 4,200 281,000 255,000 233,000 $523,750 $446,750 $379,400 10,450 9,500 Liabilities and Equity Accounts payable $130,000 73,250 50,600 mortgages on plant assets Common stock, $10 par value 98,000 99,000 83,600 163,000 163,000 163,000 132,750 111.500 82,200 $523,750 $446,750 $379,400 Total liabilities and equity The company's income statements for the years ended December 31, 2017 and 2016, follow. For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income taxes Total costs and expenses Net income 2017 2016 $755,000 $570,000 $460,550 226,500 11,800 9,300 $359,100 136, 800 12,600 708, 1508975 46,850 $ 2.87 517,475 $ 52,525 $ 3.22 Earnings per share Evaluate the company's efficiency and profitability by computing the following for 2017 and 2016. Exercise 13-10 Part 2 (2) Total asset turnover. Total Asset Turnover Choose Numerator Choose Total Asset Total asset tumover 2017 times 2016 times Simon Company's year-end balance sheets follow 20172016 2015 At December 31 Assets Cash Accounts receivable, net Herchandise inventory Prepaid expenses Plant assets, net Total assets s 30,200 36,250 38,200 89,600 64,000 51,000 112,500 82,000 53,000 10,4509,500 4,200 281,000 255, 000 233,000 $523,750 $446,750 $379,400 Liabilities and Equity Accounts payable Long-term notes payable secured by $130,000 73,250 s 50,600 mortgages on plant assets Common stock, $10 par value Retained earnings Total liabilities and equity 98,00099,000 83,600 163,000 163,000 163,000 132,750 111,500 82 200 $523,750 $446,750 $379,400 The company's income statements for the years ended December 31, 2017 and 2016, follow. 2016 Sales Cost of goods sold Other operating expenses Interest expense Income taxes Total costs and expenses Net income $755, 000 $570,000 $460,550 226,500 11,800 $359, 100 136, 800 12,600 8,975 708,150 $ 46,850 517,475 $ 52,525 $ 3.22 Earnings per share $2.87 Evaluate the company's efficiency and profitability by computing the following for 2017 and 2016. Exercise 13-10 Part 3 (3) Return on total assets. Return On Total Assets Choose Numerator Choose Denominator: Return On Total As Return on total assets 2017 2016