Required information [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 Req 1 Req 2 and 3 For both the current year and one year ago, compute the following ratios: 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 tot assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. ssets Fash ccounts receivable, net Merchandise inventory repaid expenses lant assets, net otal assets 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of assets favorable or unfavorable? Current Year 1 Year Ago $ 40,461 73,726 94,530 10,730 301,955 $ 521,402 SIMON COMPANY iabilities and Equity ccounts payable ong-term notes payable Common stock, $10 par Cetained earnings otal liabilities and equity $36,042 103,425 127,437 11,492 326,430 $ 604,826 Express the balance sheets in common-size percents. Note: Do not round intermediate calculations and round your final percentage answers to 1 decimal place. Common-Size Comparative Balance Sheets December 31 % $ 152,108 114,844 162,500 175,374 $ 604,826 % % % Current Year 1 Year Ago 2 Years Ago < Req 1 $ 56,219 $ 87,236 122,321 162,500 149,345 97,926 162,500 113,555 $ 521,402 $ 430,200 % % % % 2 Years Ago % $ 42,590 56,219 61,699 4,827 264,865 $430,200 % % % Req 2 and 3>
Required information [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 Req 1 Req 2 and 3 For both the current year and one year ago, compute the following ratios: 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 tot assets favorable or unfavorable? Complete this question by entering your answers in the tabs below. ssets Fash ccounts receivable, net Merchandise inventory repaid expenses lant assets, net otal assets 3. Assuming annual sales have not changed in the last three years, is the change in merchandise inventory as a percentage of assets favorable or unfavorable? Current Year 1 Year Ago $ 40,461 73,726 94,530 10,730 301,955 $ 521,402 SIMON COMPANY iabilities and Equity ccounts payable ong-term notes payable Common stock, $10 par Cetained earnings otal liabilities and equity $36,042 103,425 127,437 11,492 326,430 $ 604,826 Express the balance sheets in common-size percents. Note: Do not round intermediate calculations and round your final percentage answers to 1 decimal place. Common-Size Comparative Balance Sheets December 31 % $ 152,108 114,844 162,500 175,374 $ 604,826 % % % Current Year 1 Year Ago 2 Years Ago < Req 1 $ 56,219 $ 87,236 122,321 162,500 149,345 97,926 162,500 113,555 $ 521,402 $ 430,200 % % % % 2 Years Ago % $ 42,590 56,219 61,699 4,827 264,865 $430,200 % % % Req 2 and 3>
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Please do not give solution in image format ? and fast answering please and explain proper steps by Step.
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Required information
[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
Assets
Cash
Req 1
Liabilities and Equity
Accounts payable
Long-term notes payable
Common stock, $10 par value.
Retained earnings.
Total liabilities and equity
For both the current year and one year ago, compute the following ratios:
Reg 2 and 3
Complete this question by entering your answers in the tabs below.
Accounts receivable, net
Merchandise inventory
Prepaid expenses
Plant assets, net
Total assets
Current Year
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?
Liabilities and Equity
Accounts payable
Long-term notes payable
Common stock, $10 par
Retained earnings
Total liabilities and equity
$ 36,042
103,425
127,437
11,492
326,430
$ 604,826
Common-Size Comparative Balance Sheets
December 31
%
$152,108
114,844
162,500
175,374
%
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
%
$ 87,236
122,321
162,500
149,345
$ 604,826 $ 521,402
%
Current Year 1 Year Ago 2 Years Ago
< Req 1
1 Year Ago
$ 40,461
73,726
94,530
10,730
301,955
$ 521,402
%
%
%
%
2 Years Ago
%
%
$ 42,590
56,219
61,699
4,827
264,865
$ 430,200
%
$ 56,219
97,926
162,500
113,555
$ 430,200
%
Req 2 and 3>](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fac92dbf6-898b-4a56-aeb2-f055afd4d544%2F856c0a2d-9991-4ec6-9733-db93fb4bb56f%2Fhocmi89_processed.png&w=3840&q=75)
Transcribed Image Text:?
Required information
[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
Assets
Cash
Req 1
Liabilities and Equity
Accounts payable
Long-term notes payable
Common stock, $10 par value.
Retained earnings.
Total liabilities and equity
For both the current year and one year ago, compute the following ratios:
Reg 2 and 3
Complete this question by entering your answers in the tabs below.
Accounts receivable, net
Merchandise inventory
Prepaid expenses
Plant assets, net
Total assets
Current Year
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?
Liabilities and Equity
Accounts payable
Long-term notes payable
Common stock, $10 par
Retained earnings
Total liabilities and equity
$ 36,042
103,425
127,437
11,492
326,430
$ 604,826
Common-Size Comparative Balance Sheets
December 31
%
$152,108
114,844
162,500
175,374
%
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
%
$ 87,236
122,321
162,500
149,345
$ 604,826 $ 521,402
%
Current Year 1 Year Ago 2 Years Ago
< Req 1
1 Year Ago
$ 40,461
73,726
94,530
10,730
301,955
$ 521,402
%
%
%
%
2 Years Ago
%
%
$ 42,590
56,219
61,699
4,827
264,865
$ 430,200
%
$ 56,219
97,926
162,500
113,555
$ 430,200
%
Req 2 and 3>
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