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Simon Company's year-end balance sheets follow. Current Yr 1 Yr Ago 2 Yrs Ago At December 31 Assets Cash Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net $ 29, 783 88,964 109, 641 9,689 277, 030 $515, 107 $ 36,235 $ 37, 382 61,546 48, 846 82, 151 55, 228 9, 325 4,071 254, 801 232,073 $ 444, 058 $ 377,600 Total assets $126,979 $ 72,794 $ 48, 348 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 98, 777 162,500 126, 851 $515, 107 103, 155 83,450 162,500 162,500 105, 609 83, 302 $ 444,058 $ 377,600 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 Current Yr $669,639 $408, 480 207,588 11,384 8, 705 636, 157 1 Yr Ago $528, 429 $343, 479 133,693 12,154 7,926 497, 252 Net income $ 33, 482 $ 31,177 Earnings per share $ 2.06 $ 1.92 For both the Current Year and 1 Year Ago, compute the following ratios: Exercise 13-9 Part 1 (1) Debt and equity ratios. Debt Ratio Choose Numerator: Choose Denominator: Debt Ratio Debt ratio Current Year: = % 1 Year Ago: 11 % Equity Ratio Choose Numerator: Choose Denominator: Equity Ratio Equity ratio 1 11 Current Year: v 11 % 1 Year Ago: 11 % Exercise 13-9 Part 2 (2) Debt-to-equity ratio. Debt-To-Equity Ratio Choose Numerator: Choose Denominator: - 1 11 Debt-To-Equity Ratio Debt-to-equity ratio to 1 Current Year: 1 1 1 Year Ago: 11 to 1 Exercise 13-9 Part 3 (3-a) Times interest eamed. (3-b) Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 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 Numerator: 1 Choose Denominator: Times Interest Earned Times interest earned 1 times Current Year: times 1 Year Ago: Required 38 Exercise 13-9 Part 3 (3-a) Times interest earned. (3-b) Based on times interest earned, is the company more or less risky for creditors in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 3A Required 30 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

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