Required information Use the following information for the Exercises below. (Algo) [The following information applies to...
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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 Current Year 1 Year Ago 2 Years Ago Cash Accounts receivable, net $ 36,323 103,211 $ 42,874 $ 41,639 72,116 56,090 Merchandise inventory Prepaid expenses 96,259 10,708 Plant assets, net Total assets $ 603,571 Liabilities and Equity Accounts payable Long-term notes payable $ 151,792 110,067 Common stock, $10 par value 163,500 163,500 Retained earnings 178,212 154,244 129,768 11,468 322,801 298,363 $520,320 $ 85,296 117,280 62,803 4,770 268,298 $ 433,600 $ 56,663 96,784 162,500 117,653 Total liabilities and equity $ 603,571 $520,320 $ 433,600 For both the current year and one year ago, compute the following ratios: Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3 Express the balance sheets in common-size percents. Note: Do not round intermediate calculations and round your final percentage answers to 1 decimal place. SIMON COMPANY Common-Size Comparative Balance Sheets 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 Retained earnings Total liabilities and equity December 31 Current Year 1 Year Ago 2 Years Ago % % % 96 % % % % % % < Req 1 % Req 2 and 3 > Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? 2. Change in accounts receivable 3. Change in merchandise inventory < Req 1 Req 2 and 3 > Show less A 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 Current Year 1 Year Ago 2 Years Ago Cash Accounts receivable, net $ 36,323 103,211 $ 42,874 $ 41,639 72,116 56,090 Merchandise inventory Prepaid expenses 96,259 10,708 Plant assets, net Total assets $ 603,571 Liabilities and Equity Accounts payable Long-term notes payable $ 151,792 110,067 Common stock, $10 par value 163,500 163,500 Retained earnings 178,212 154,244 129,768 11,468 322,801 298,363 $520,320 $ 85,296 117,280 62,803 4,770 268,298 $ 433,600 $ 56,663 96,784 162,500 117,653 Total liabilities and equity $ 603,571 $520,320 $ 433,600 For both the current year and one year ago, compute the following ratios: Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3 Express the balance sheets in common-size percents. Note: Do not round intermediate calculations and round your final percentage answers to 1 decimal place. SIMON COMPANY Common-Size Comparative Balance Sheets 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 Retained earnings Total liabilities and equity December 31 Current Year 1 Year Ago 2 Years Ago % % % 96 % % % % % % < Req 1 % Req 2 and 3 > Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. Req 1 Req 2 and 3 2. Assuming annual sales have not changed in the last three years, is the change in accounts receivable as a percentage of total assets favorable or unfavorable? 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of total assets favorable or unfavorable? 2. Change in accounts receivable 3. Change in merchandise inventory < Req 1 Req 2 and 3 > Show less A
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