2 Part 1 of 2 33.33 points 00:59:04 Skipped Required information [The following information applies to...

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2 Part 1 of 2 33.33 points 00:59:04 Skipped Required information [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 Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Barco . Company Barco Company Kyan Company Data from the current year's income statement Sales 51,400 Cost of goods sold Interest expense Income tax expense Net Income 122,000 $ 34,000 590,100 632,500 40,400 $4,640 7,700 11,000 136,500 15,377 7,650 106,023 320,000 307,400 Basic earnings per share 4.92 24,601 223,097 4.73 Current liabilities Total assets Liabilities and Equity Long-term notes payable Common stock, $5 par value Retained earnings $472,340 $536,950 Cash dividends per share 3.82 3.97 Beginning of-year balance sheet data $ 68,340 79,000 190,000 134,200 $92,300 Accounts receivable, et $30,000 $51,200 107,000 Merchandise Inventory 61,600 113,400 236,000 Total assets 370,000 372,500 101,610 Common stock, $5 par value 190,000 236,000 Total liabilities and equity $472,340 $ 536,950 Retained earnings 92,532 45,937 Required: 16. 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 ( days' sales uncollected (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. 14 Current 1A Art Per 1A e Calin Anal 00 Help Save & 2 Part 1 of 2 33.33 points 00:59:04 Skipped Required information [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 Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Barco . Company Barco Company Kyan Company Data from the current year's income statement Sales 51,400 Cost of goods sold Interest expense Income tax expense Net Income 122,000 $ 34,000 590,100 632,500 40,400 $4,640 7,700 11,000 136,500 15,377 7,650 106,023 320,000 307,400 Basic earnings per share 4.92 24,601 223,097 4.73 Current liabilities Total assets Liabilities and Equity Long-term notes payable Common stock, $5 par value Retained earnings $472,340 $536,950 Cash dividends per share 3.82 3.97 Beginning of-year balance sheet data $ 68,340 79,000 190,000 134,200 $92,300 Accounts receivable, et $30,000 $51,200 107,000 Merchandise Inventory 61,600 113,400 236,000 Total assets 370,000 372,500 101,610 Common stock, $5 par value 190,000 236,000 Total liabilities and equity $472,340 $ 536,950 Retained earnings 92,532 45,937 Required: 16. 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 ( days' sales uncollected (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. 14 Current 1A Art Per 1A e Calin Anal 00 Help Save &