1 art 1 of 2 ints Skipped eBook Print References Required information Problem 13-5A (Algo) Comparative ratio analysis LO P3 [The following information applies to the questions displayed below.] Summary information from the financial statements of two companies competing in the same industry follows. Data from the current year-end balance sheets Assets Cash AL Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Retained earnings. Total liabilities and equity Problem 13-5A (Algo) Part 1 Barco Kyan Company Company $ 22,500 34,400 84,740 6,000 280,000 $ 427,640 $ 551,800 Interest expense $ 36,000 59,400 140,500 7,500 Income tax expense Net income 308,400 Basic earnings per share Data from the current year's income statement Sales Cost of goods sold $ 62,340 $ 102,300 86,800 113,000 160,000 226,000 118,500 110,500 $ 427,640 $ 551,800 Cash dividends per share Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory Total assets Common stock, $5 par value Retained earnings Barco Company -LL. $ 800,000 586, 100 8,900 15,377 189,623 5.93 3.77 $ 31,800 61,600 388,000 160,000 49,517 Kyan Company $ 912,200 648,500 11,000 25,183 227,517 5.03 3.95 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts receivable turnover, (d) inventory turnover, (e) days' sales in inventory, and (f) days' sales uncollected. Note: Do not round intermediate calculations. ILLIER.FL TALLIT L th $ 51,200 113,400 422,500 226,000 61,523 Che

1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (C) accounts receivabie turnover, () inventory turnover, (e) days sales in inventory, and (f) days' sales uncollected. Note: Do not round intermediate calculations. 1b. Identify the company you consider to be the better short-term credit risk. Complete this question by entering your answers in the tabs below. For both companies compute the inventory turnover. sales in inventory, and ( 1 ) days' sales uncollected. Note: Do not round intermediate calculations. 1b. Identify the company you consider to be the better short-term credit risk. Complete this question by entering your answers in the tabs below. For both companies compute the accounts (including notes) receivable turnover. 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (C) accounts receivabie turnover, () inventory turnover, (e) days sales in inventory, and (f) days' sales uncollected. Note: Do not round intermediate calculations. 1b. Identify the company you consider to be the better short-term credit risk. Complete this question by entering your answers in the tabs below. For both companies compute the inventory turnover. sales in inventory, and ( 1 ) days' sales uncollected. Note: Do not round intermediate calculations. 1b. Identify the company you consider to be the better short-term credit risk. Complete this question by entering your answers in the tabs below. For both companies compute the accounts (including notes) receivable turnover