5 Required information Problem 17-5A Comparative ratio analysis LO A1, P3 The folowing information applies to the questions displayed below] Summary infarmation from the financial starements of two companies competing in the seme industry follows Pert 2 of 2 25 points Cospany 0132 52 Data fros the current year end balance sheets assets Cash Accounts receivable, net Current notes receivable (trade) Merchandise invent ory Prepaid expenses Plant assets, net Total assets Data froe the current year's incose statement Sales $770, 000 $882, 200 585,100 632,500 7,900 13,000 14,800 24,be0 162, 20 210,40d s 19, 500 34,0 Cost of goods sold 37,400 57,400 Interest expense eBook 9,100 84,440 132,500 Net incose 7,200 Incose t ax expense 5, 00 6,950 Basic earnings per share 290,000 304,40 Cash dividends per share 445,44 $542,450 4.51 3.81 Print 3.93 Berinnire-of-year balance sheet data Accounts receivable, net 3 29,800 3 54,200 Liabilities and Equity Current liabilities Long-term notes payable Connon stock, 15 par value Retained earnings Total 11abflities and equfty s 61,340 93,300 Current notes recefvable (trade) 55,600 107,400 98, 600 382,500 180, 00 206,0 98,300 93,600 80, 800 101,000 Merchandise invent ory 180, 0 206, 000 Total assets 123,302142,150 Common stock, 55 par value 445,440 $542,450 Retained earnings Problem 17-5A Part 2 5 Problem 17-5A Part 2 2012 2a. For both companies compute the (o) profit margin ratio. (b) total asset turnover, () return on total assets, and (d return on common stockholders equity Assuming that share and each company's stack can be purchased at $75 per share. compute their (e) price earnings ratios and ( dividend yields. (Do not round intermediate calculations. Round your answers to 2 clec imal places.) 2b. Identify which company's stock you would recommend as the better investment 25 points Complete this question by entering your answers in the tabs below 013234 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn 2A Div Yield Req 2B Ratio Turn Assets Com Stock Ratio eBook Ask Prnt ReferemcR For both companies compute the profit margin ratio Preft Matgin Ratio Choose Denominator: Company Choose Numerator -Profit margin r Profit margin ratio Barco Kyan 2A Tot Asset lurn > 5 Problem 17-5A Part 2 2a. For both companies compute the () profit margin ratio. (b) total asset turnover, (d return on total assets, and (o) return on common earnings ratios and dividend yields. (Do not round intermediate calculetions. Round your answers to 2 dec imal places.) ostockholders' equity Assuming that share and each company's stock can be purchased at $75 per share, compute their (e)price- 2b. Identify which company's stock you would recommend as the better investment. 25 points Complete this question by entering your answers in the tabs below 013215 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn 2A Di YieldReq 2B Ratio Turn Assets Com Stock Ratio For both companies compute the total asset turnover Total Asset Turnover Choose Denominator: Print -Total Asset Turnover PeterencesCo Company Choose Numerator: Total asset turmover times Barco times Kyan 5 Problem 17-5A Part 2 2a. For both companies compute the (a) profit margin ratio, (bi total asset turnover. () return on total assets, and (c) return on comman stockholders equity Assuming that share and each company's stock can be purchased a $75 per share, compute their (e) price Pert 2 of 2 earnings ratios and th dividend yields. (Do not round intermecliate colculations. Round your answers to 2 dlec imal plac es.) 2b. Identify which company's stock you would recommend as the better investment 25 points Complete this question by entering your answers in the tabs below 01 31 46 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn ZA Div Yield Req 2 Ratio Turn Assets Com Stock Ratio eBook Auk Prnt Reterences For both companies compute the return on total assets Beturn on Total Assets Choose Denominator: Return on Total Assets Return on total assets Company Choose Numerator Barco Kyan 5 Problem 17-5A Part2 2a. For both earnings ratios and (h dividend yields. (Do not round intermediate cak ulations. Round your answers to 2 dec imal places) Pert 2 of 2 stockholders' equity Assunsing that share and each company's stock can be purchased at $75 per share. compute their (el price- companies compute the (a) profit margin ratio, (bj total asset turnaver, (d return on total assets, ond (h return on cammon 2h. Identify which company's stock you would recommend as the better investment 25 pointe Complete this question by entering your answers in the tabs below 2A Prof Mar | 2A Tot Asset 2A Ret on Tot! 2A Ret On Com Stock 2A Price Earn Assets c For both companies compute the return on common stockholders' equity Ratio Turn Ak Return On Common Stockhoklers: Equity Choose Denominato Choose Numer ator References Return On Common Stockholders' Ee Return on common stockholders equity Barco Kyan 5 Problem 17-5A Part 2 2a. For both companies compute the () profit margin ratio. (b) total asset turnover. (C return on total assets, and (o)return on common stockholders' equity Assuming that share and each company's stock can be purchased at $75 per share. compute their (el price- earnings ratios and (n dividend yields. (Do not round intermediate calc ulations. Round your answers to 2 clec imal places) 2b. Identify which company's stock you would recommend os the better investment Pan 2 of 2 25 point Complete this question by entering your answers in the tabs below 01 3112 2A Ret Rea 28 2A Tot Asset 2A Ret on Tot 2A Ret On Com Stock 2A Price Earn Ratio 2A Prof Mar Ratio Turn Assets Assuming that share and each company's stock can be purchased at $75 per share, compute their price-earnings ratios Ack Phint Peterences Price Earninus Ratio Choose Denominator: Price Earnings Ratio Price-Eamings Ratio omparry Choose Numerator: mes times Barce Kyan C 2A Rat On Com Stock 2A Div Yield 5 Problem 17-5A Part2 Pem 2of2 2a. For both companies compute the (e) profit margin ratio. (b) total asset turnover, (d return an total assers, and (d return on cammon stockholders' equity Assuming that share and each company's stock can be purchased at $75 per share, compute their (e) price earnings ratios and (n dividend yields. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 2b. Identify which company's stock you would recommend as the better investment 25 points Complete this question by entering your answers in the tabs below Cota,se) 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn 2A Div Yield Reg 2B Ratio Turn Assets Com Stock Ratio eDook Assuming that share and each company's stock can be purchased at $75 per share, compute their dividend yields Adk DMdend Yield Pint Choose Numerator: Choose Denominator: DMdend Yield ompany P eference Barco Kyan