2. Below are the financial statements of two companies operating in the same industry: Barco Company Kyan Company Data from the current year's balance sheet Assets Cash 27,000 47,500 Accounts receivable, net 52,000 80,000 Current notes receivable (trade) 12,500 10,000 Merchandise inventory 117,500 184,500 Prepaid expenses 7,000 9,500 Plant assets, net 404,000 424,000 Total assets 620,000 755,500 Liabilities and Equity Current liabilities 85,500 130,000 Long-term notes payable 112,500 140,500 Common stock, $5 par value 250,500 287,000 Retained earnings 171,500 198,000 Total liabilities and equity 620,000 755,500 Data from the current year's income statementSales 1 .0?2.000 Cost of goods sold 815.000 Interest expense 1 1 .000 Income tax expense 20.500 Net income 225.500 Basic earnings per share 4.50 Beginning-ofyear balance sheet data Accounts receivable. net 41,500 Current notes receivable {trade} - Merchandise inventory 17,500 Total assets 554.000 Common stock. $5 par value 250.500 Retained earnings 13?.000 1 .225.500 331 .000 1 3. 000 34. 000 202.500 5. 1 0 T5. 500 140.500 532.500 23?.000 130.500 a} Assess their asset management performance and short-tenn liquidity position using appropriate nancial ratios. [10 points] h} Both companies pay dividends of $5.30 per share and their stock prices are both at $1011.50. Evaluate these companies from the perspective of an investor using appropriate nancial ratios. [10 points]