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Use the following information for the Exercises below. (Algo)

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[The following information applies to the questions displayed below.] Simon Company's year-end balance sheets follow.

At December 31	Current Year	1 Year Ago	2 Years Ago
Assets
Cash	$ 29,134	$ 34,055	$ 37,302
Accounts receivable, net	86,997	60,799	48,273
Merchandise inventory	107,237	78,751	52,979
Prepaid expenses	9,382	9,030	4,104
Plant assets, net	266,029	247,347	226,742
Total assets	$ 498,779	$ 429,982	$ 369,400
Liabilities and Equity
Accounts payable	$ 122,954	$ 70,487	$ 47,786
Long-term notes payable	94,708	96,918	83,270
Common stock, $10 par value	162,500	163,500	162,500
Retained earnings	118,617	99,077	75,844
Total liabilities and equity	$ 498,779	$ 429,982	$ 369,400

For both the current year and one year ago, compute the following ratios:

Exercise 13-8 (Algo) Analyzing and interpreting liquidity LO P3

The companys income statements for the current year and one year ago follow. Assume that all sales are on credit:

For Year Ended December 31	Current Year		1 Year Ago
Sales		$ 648,413		$ 511,679
Cost of goods sold	$ 395,532		$ 332,591
Other operating expenses	201,008		129,455
Interest expense	11,023		11,769
Income tax expense	8,429		7,675
Total costs and expenses		615,992		481,490
Net income		$ 32,421		$ 30,189
Earnings per share		$ 2.00		$ 1.86

(1-a) Compute days' sales uncollected. (1-b) Determine if days' sales uncollected improved or worsened in the current year. (2-a) Compute accounts receivable turnover. (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. (4-a) Compute days' sales in inventory. (4-b) For each ratio, determine if days' sales in inventory improved or worsened in the current year.