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Required information Use the following information for the Exercises below. (Algo) [The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow. At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Accounts payable 254,424 $ 466,756 $ 113,898 Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity Current Year 1 Year Ago 2 Years Ago $ 26,988 78,219 98,345 8,780 88,628 $ 32,512 54,643 75,928 8,365 230,928 $ 66,642 90,696 163,500 81,538 163,500 100,730 $ 466,756 $ 402,376 $ 34,202 44,708 47,133 3,726 208,931 $ 338,700 $ 46,050 74,853 162,500 55,297 $ 338,700 $ 402,376 For both the current year and one year ago, compute the following ratios: One Exercise 17-8 (Algo) Analyzing and interpreting liquidity LO P3 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 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Earnings per share (1-a) Compute days' sales uncollected. Current Year 1 Year Ago $ 606,783 $ 478,827 $ 370,138 188,103 $ 311,238 10,315 7,888 576,444 $ 30,339 $ 1.87 121,143 11,013 7,182 (1-b) Determine if days' sales uncollected improved or worsened in the current year. (2-a) Compute accounts receivable turnover. 450,576 $ 28,251 $ 1.74 (2-b) Determine if accounts receivable turnover ratio improved or worsened in the current year. (3-a) Compute inventory turnover. (3-b) Determine if inventory turnover ratio improved or worsened in the current year

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