The owowig motion appies to the questions SR O W./ Simon Company's year-end balance sheets follow. Current Y 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 $ 34, 350 104,637 131,562 11,514 312,029 $594,092 $ 19,152 $ 43,977 70,267 56,336 93,899 62,459 10,863 4,791 297 066 267 937 $ 512,148 $ 435,500 $146,450 $ 86,553 $ 57,486 112, 806 162,500 172336 $594,892 115, 438 93,358 16259162,500 147,657 122, 156 $ 512,148 $ 435,500 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 Net income Earnings per share Current Yr $772,320 $471, 115 239, 419 13,129 10,040 733, 703 $ 38,617 $ 2.38 1 Yn Ago $ 689,456 $396,146 154, 192 14,017 9 142 573,497 $ 35,959 $ 2.21 For both the Current Year and 1 Year Ago, compute the following ratios: (1) Debt and equity ratios. Debt Ratio Choose Numerator: Choose Denominator Debt Ratio Debt ratio Current Year 1 Year Ago: Equity Ratio Choose Numera Choose Denominator - Equity Ratio ET Equity ratio Current Year: 1 Year Ago: Prey 9 10 11 19 (2) Debt to equity ratio. Debt-To-Equity Ratio Choose Numerator: Choose Denominator. = = Debt-To-Equity Ratio Debt-to-equity ratio Current Year: 1 Year Ago: Complete this question by entering your answers in the tabs below. Required 3A Required 3B Times interest earned Times Interest Earned Choose Denominator: Choose Numerator: - Times Interest Earned Times interest earned times times Current Year: 1 Year Ago: Required 3B > Prey 11 of 19 Next Complete this question by entering your answers in the tabs below. Required SA Required 38 Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Times interest earned (Required 3A