Required information Exercise 13-10 (Static) Analyzing efficiency and profitability LO P3 [Alternate Version] [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 Long-term notes payable Common stock, $10 par value. Retained earnings. Total liabilities and equity Current Year 1 Year Ago 2 Years Ago $ 35,625 $ 37,800 62,500 50,200 $ 31,800 89,500 112,500 10,700 278,500 $ 523,000 $ 129,900 98,500 82,500 9,375 255,000 $ 445,000 $ 75,250 101,500 163,500 104,750 163,500 131,100 $ 523,000 $ 445,000 54,000 5,000 230,500 $ 377,500 $ 51,250 83,500 163,500 79,250 $ 377,500 1 Year Ago $ 532,000 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 Current Year $ 673,500 $ 411,225 209,550 12,100 9,525 Total costs and expenses Net income Earnings per share 642,400 $ 31,100 $ 1.90 $ 345,500 134,980 13,300 For both the Current Year and 1 Year Ago, compute the following ratios: 8,845 502,625 $ 29,375 $ 1.80 Exercise 13-10 (Static) Part 1 [Alternate Version] 1-a) Compute profit margin ratio for the current year and one year ago. 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 Compute profit margin ratio for the current year and one year ago. Current Year: 1 Year Ago: Numerator: Profit Margin Ratio Denominator: Profit Margin Ratio = Profit margin ratio = % < Required 1A Required 1B >