Simon Company's year-end balance sheets follow

Simon Company's year-end balance sheets follow. 
At December 31 Assets Current Yr 1 Yr Ago 2 Yrs Ago Cash $ 33,020 $ 37,833 $ 40,616 Accounts receivable, net 95,702 67,546 53,618 Merchandise inventory 122,710 87,489 58,834 Prepaid expenses 10,528 10,232 4,334 Plant assets, net 292,162 274,591 248,798 Total assets $ 554,122 $ 477,691 $ 406,200 Liabilities and Equity $ 82,344 $ 54,155 Accounts payable $ 133,837 Long-term notes payable secured by mortgages on plant assets 101,050 110,968 90,668 Common stock, $10 par value 163,500 163,500 163,500 Retained earnings 155,735 120,879 97,877 Total liabilities and equity $ 554,122 $ 477,691 $ 406,200 
1. Express the balance sheets in common-size percents. (Do not round intermediate calculations and round your final percentage answers to 1 decimal place.) 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?