! 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 Cash Accounts receivable, net Current Year 1 Year Ago 2 Years Ago $ 29,710 86,979 110,453 9,761 271,747 $ 34,378 60,775 79,498 9,392 Merchandise inventory Prepaid expenses Plant assets, net Total assets $ 508,650 254,448 $ 438,491 Liabilities and Equity Accounts payable $ 126,654 Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity 95,626 163,500 $ 75,587 99,844 163,500 99,560 122,870 $ 508,650 $ 438,491 For both the current year and one year ago, compute the following ratios: $ 37,637 47,260 50,840 4,141 229,222 $ 369,100 $ 49,696 83,203 163,500 72,701 $ 369,100 Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. assets favorable or unfavorable? 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
! 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 Cash Accounts receivable, net Current Year 1 Year Ago 2 Years Ago $ 29,710 86,979 110,453 9,761 271,747 $ 34,378 60,775 79,498 9,392 Merchandise inventory Prepaid expenses Plant assets, net Total assets $ 508,650 254,448 $ 438,491 Liabilities and Equity Accounts payable $ 126,654 Long-term notes payable Common stock, $10 par value Retained earnings Total liabilities and equity 95,626 163,500 $ 75,587 99,844 163,500 99,560 122,870 $ 508,650 $ 438,491 For both the current year and one year ago, compute the following ratios: $ 37,637 47,260 50,840 4,141 229,222 $ 369,100 $ 49,696 83,203 163,500 72,701 $ 369,100 Exercise 13-6 (Algo) Common-size percents LO P2 1. Express the balance sheets in common-size percents. assets favorable or unfavorable? 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
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
am. 401.
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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
Cash
Accounts receivable, net
Merchandise inventory
Prepaid expenses
Plant assets, net
Total assets.
Current Year
$ 29,710
86,979
110,453
9,761
271,747
$ 508,650
$ 126,654
95,626
163,500
122,870
$ 508,650
1 Year Ago
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:
Exercise 13-6 (Algo) Common-size percents LO P2
$ 34,378
60,775
79,498
9,392
254,448
$ 438,491
$ 75,587
99,844
163,500
99,560
$ 438,491
2 Years Ago
$ 37,637
47,269
50,840
4,141
229,222
$ 369,100
$ 49,696
83,203
163,500
72,701
$ 369,100
1. Express the balance sheets in common-size percents.
assets favorable or unfavorable?
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](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fc03f27c5-c3d2-4aa0-8090-252e3fdf684c%2Fdff645f6-1e46-4da6-a864-bbf61a539e5b%2Fezk6vfa_processed.jpeg&w=3840&q=75)
Transcribed Image Text:!
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
Cash
Accounts receivable, net
Merchandise inventory
Prepaid expenses
Plant assets, net
Total assets.
Current Year
$ 29,710
86,979
110,453
9,761
271,747
$ 508,650
$ 126,654
95,626
163,500
122,870
$ 508,650
1 Year Ago
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:
Exercise 13-6 (Algo) Common-size percents LO P2
$ 34,378
60,775
79,498
9,392
254,448
$ 438,491
$ 75,587
99,844
163,500
99,560
$ 438,491
2 Years Ago
$ 37,637
47,269
50,840
4,141
229,222
$ 369,100
$ 49,696
83,203
163,500
72,701
$ 369,100
1. Express the balance sheets in common-size percents.
assets favorable or unfavorable?
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
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