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For both companies compute the profit margin ratio. (a) Profit Margin Ratio Company Numerator: / Denominator: = Profit margin ratio / = Profit margin ratio

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For both companies compute the profit margin ratio.

(a) Profit Margin Ratio
Company Numerator: / Denominator: = Profit margin ratio
/ = Profit margin ratio
Barco / = 0 %
Kyan / = 0 %

For both companies compute the total asset turnover

(b) Total Asset Turnover
Company Numerator: / Denominator: = Total Asset Turnover
/ = Total asset turnover
Barco / = 0 times
Kyan / = 0 times

For both companies compute the return on total assets.

(c) Return on Total Assets
Company Numerator: / Denominator: = Return on Total Assets
/ = Return on total assets
Barco / = 0 %
Kyan / = 0 %

For both companies compute the return on equity.

(d) Return On Equity
Company Numerator: / Denominator = Return On Equity
/ = Return On equity
Barco / = 0 %
Kyan / = 0 %

Assuming that share and each companys stock can be purchased at $85 per share, compute their price-earnings ratios.

(e) Price-Earnings Ratio
Company Numerator: / Denominator: = Price-Earnings Ratio
/ = Price-earnings ratio
Barco / = 0 times
Kyan / = 0 times

Assuming that each companys stock can be purchased at $85 per share, compute their dividend yields.

(f) Dividend Yield
Company Numerator: / Denominator: = Dividend Yield
/ = Dividend yield
Barco / = 0 %
Kyan / = 0 %

Identify which companys stock you would recommend as the better investment.

The better investment : ___?

Required Information [The following information applles to the questions displayed below.] Summary Information from the financlal statements of two companles competing in the same Industry follows. 2a. For both companles compute the (d) profit margin ratio, (b) total asset turnover, (c) return on total assets, and (d) return on equity. Assuming that each company's stock can be purchased at $85 per share, compute their ( e ) price-earnings ratlos and ( f ) dividend ylelds. 2b. Identify which company's stock you would recommend as the better Investment

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