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. Current Year 1 Year Ago 2 Years Ago At December 31 Assets Cash Accounts receivable, net $ 27,523 80,559 $ 31,216 $ 32,191 55,185 44,236 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 72,923 8,361 230,475 $ 398,160 92,493 163,500 76,224 For both the current year and one year ago, compute the following ratios: 47,116 3,613 204,644 $ 331,800 $ 44,236 74,061 163,500 $ 331,800 97,315 8,512 247,957 $ 461,866 $ 118,455 $ 65,943 89,436 163,500 90,475 50,003 $ 461,866 $ 398,160 Exercise 13-7 (Algo) Analyzing liquidity LO P3 (1-a) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three-year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three-year period? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B
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. Current Year 1 Year Ago 2 Years Ago At December 31 Assets Cash Accounts receivable, net $ 27,523 80,559 $ 31,216 $ 32,191 55,185 44,236 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 72,923 8,361 230,475 $ 398,160 92,493 163,500 76,224 For both the current year and one year ago, compute the following ratios: 47,116 3,613 204,644 $ 331,800 $ 44,236 74,061 163,500 $ 331,800 97,315 8,512 247,957 $ 461,866 $ 118,455 $ 65,943 89,436 163,500 90,475 50,003 $ 461,866 $ 398,160 Exercise 13-7 (Algo) Analyzing liquidity LO P3 (1-a) Compute the current ratio for each of the three years. (1-b) Did the current ratio improve or worsen over the three-year period? (2-a) Compute the acid-test ratio for each of the three years. (2-b) Did the acid-test ratio improve or worsen over the three-year period? Complete this question by entering your answers in the tabs below. Required 1A Required 1B Required 2A Required 2B
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question
![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.
Current Year 1 Year Ago 2 Years Ago
At December 31
Assets
Cash
Accounts receivable, net
$ 27,523
80,559
$ 31,216
$ 32,191
55,185
44,236
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
72,923
8,361
230,475
$ 398,160
92,493
163,500
76,224
For both the current year and one year ago, compute the following ratios:
47,116
3,613
204,644
$ 331,800
$ 44,236
74,061
163,500
$ 331,800
97,315
8,512
247,957
$ 461,866
$ 118,455
$ 65,943
89,436
163,500
90,475
50,003
$ 461,866
$ 398,160
Exercise 13-7 (Algo) Analyzing liquidity LO P3
(1-a) Compute the current ratio for each of the three years.
(1-b) Did the current ratio improve or worsen over the three-year period?
(2-a) Compute the acid-test ratio for each of the three years.
(2-b) Did the acid-test ratio improve or worsen over the three-year period?
Complete this question by entering your answers in the tabs below.
Required 1A Required 1B
Required 2A Required 2B](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F22e6d251-1c54-4e34-b492-727039851b0a%2F5c35afdd-8d14-4996-a36c-ef6d6f1e70da%2Fjfjh13h_processed.jpeg&w=3840&q=75)
Transcribed Image Text: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.
Current Year 1 Year Ago 2 Years Ago
At December 31
Assets
Cash
Accounts receivable, net
$ 27,523
80,559
$ 31,216
$ 32,191
55,185
44,236
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
72,923
8,361
230,475
$ 398,160
92,493
163,500
76,224
For both the current year and one year ago, compute the following ratios:
47,116
3,613
204,644
$ 331,800
$ 44,236
74,061
163,500
$ 331,800
97,315
8,512
247,957
$ 461,866
$ 118,455
$ 65,943
89,436
163,500
90,475
50,003
$ 461,866
$ 398,160
Exercise 13-7 (Algo) Analyzing liquidity LO P3
(1-a) Compute the current ratio for each of the three years.
(1-b) Did the current ratio improve or worsen over the three-year period?
(2-a) Compute the acid-test ratio for each of the three years.
(2-b) Did the acid-test ratio improve or worsen over the three-year period?
Complete this question by entering your answers in the tabs below.
Required 1A Required 1B
Required 2A Required 2B
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