Required information Exercise 13-10 Analyzing efficiency and profitability LO P3 [The following information applies to the questions displayed below.] 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 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 $ 31,800 86,900 112,500 10,450 281,000 $ 522,650 $36,250 $ 37,800 62,000 49,000 81,200 53,000 9,350 5,400 252,500 232,000 $441,300 $ 377,200 $ 128,800 $ 72,500 $ 50,800 96,000 160,500 137,350 $ 522,650 101,000 82,600 160,500 160,500 107,300 83,300 $441,300 $ 377,200 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 $ 785,000 $471,000 251,200 12,300 9,500 744,000 $ 41,000 1 Yr Ago $ 610,000 $384,300 146,400 13,300 8,525 552,525 $ 57,475 $ 3.58 $ 2.55 For both the Current Year and 1 Year Ago, compute the following ratios: Exercise 13-10 Part 1 (1-a) Profit margin ratio. (1-b) Did profit marain improve or worsen in the Current Year versus 1 Year Aao? Exercise 13-10 Part 1 (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Profit margin ratio. Choose Numerator: Profit Margin Ratio 1 Choose Denominator: 1 = Profit Margin Ratio Profit margin ratio % % 1 Current Year: 1 Year Ago: Exercise 13-10 Part 1 (1-a) Profit margin ratio. (1-b) Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Did profit margin improve or worsen in the Current Year versus 1 Year Ago? Profit margin