Required information Exercise 13-8 Analyzing and interpreting liquidity 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 $ 34,989 90, see 112,000 11,268 356,885 $ 605, 142 $ 40,899 62,500 82,000 10,736 325,539 $ 521,674 $ 43,038 51,200 52, eee 4,782 292,580 $ 443,600 $ 147,667 $ 86,480 $ 57,384 111,491 162,500 183,484 $ 605, 142 117,585 162,500 155, 189 $ 521,674 96, 075 162,500 127,641 $ 443,600 The company's income statements for the Current Year and 1 Year Ago, follow. Assume that all sales are on credit: For Year Ended December 31 Sales Cost of goods sold Other operating expenses Interest expense Income tax expense Total costs and expenses Net income Current Yr $ 786,685 $ 479,878 243,872 13,374 10,227 747,351 $ 39, 334 $ 2.42 1 Yr Ago $ 620,792 $ 403,515 157,060 14, 278 9,312 584,165 $ 36,627 $ 2.25 Earnings per share ercise 13-8 Part 3 Exercise 13-8 Part 3 (3-a) Compute inventory turnover. (3-b) For each ratio, determine if it improved or worsened in the current year. Complete this question by entering your answers in the tabs below. Required 3A Required 3B Compute inventory turnover. Inventory Turnover | Choose Denominator: Choose Numerator: = = Inventory Turnover / = Inventory turnover Current Yr: / times 1 Yr Ago: 1 = times Exercise 13-8 Part 3 (3-a) Compute inventory turnover. (3-b) For each ratio, determine if it improved or worsened in the current year. Complete this question by entering your answers in the tabs below. Required 3A Required 3B For each ratio, determine if it improved or worsened in the current year. Inventory turnover