Xavier Company's year-end balance sheet follow (in thousands). At December 31 Current Prior Year Year Assets Cash........... Accounts receivable, net Merchandise inventory. 505 10 520 10 Prepaid expenses 1.5 2.1 ................ Property, plant and equipment, net 60 55 Total assets 131.5 137.1 Liabilities and Equity Accounts payable 24 24 26 Long-term notes payable secured by mortgages on property, plant and equipment 30 40 40 Share capital, $10 par value 20 20 Retained earnings 57.5 51.1 Total liabilities and equity.... 131.5 137.1 Required: i. Express the balance sheet in common-size percents; round percents to two decimals. (10 marks) ii. Assuming annual sales doesn't change over the two-year period, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? Explain why. (3 marks) iii. Compute the current ratio for both years. Did the current ratio improve or worsen over the two-year period? What is the implication of this change? (7 marks)