LITE wing inuman apps to be feature wapoyo enj Summary information from the financial statements of two companies competing in the same industry follows. Barcol Company Kyan Company Barco Company Kyan Company Data from the current year-end Data from the current year's balance sheets Assets income statement Sales $770,000 $880,200 $ 19,500 46,500 84,440 5,000 290,000 Cash 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 $ 445,440 $ 542,450 Cash dividends per share. Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory $ 61,340 80,800 180,000 123,300 $ 93,300 101,000 206,000 Total assets 142,150 Total liabilities and equity $ 445,440 $ 542,450 Common stock, $5 par value. Retained earnings $ 34,000 Cost of goods sold 585,100 632,500 64,600 Interest expense 7,900 132,500 Income tax expense 14,800 13,000 24,300 6,950 Net income 162,200 210,400 304,400 Basic earnings per share 4.51 5.11 3.81 3.93 $ 29,800 $ 54,200 55,600 107,400 398,000 382,500 180,000 206,000 98,300 93,600 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 (4) 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. 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent 1A Days Sal in 1A Days Sal Turnover Inv Uncol 18 short term Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts receivable turnover, (d) invento sales in inventory, and (5) 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. 1A Current 1A Acid Test Ratio Ratio 1A Acct Rec Turn 1A livent Turntiver Inv 1A Days Sal in 1A Days Sal Uncol 1B short term For both companies compute the inventory turnover. (d) Company Numerator: Inventory Turnover Denominator: Barco Kyan = Inventory Turnover Inventory turnover 0 times 0 times < 1A Acct Rec Turn 1A Days Sal in Inv> Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts receivable turnover, (d) inventory turne 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. 1A Current 1A Acid Test 1A Acct Rec Ratio Ratio Turn Inv 1A Invent 1A Days al in 1A Days Sal Turnover 1B short term Uncol For both companies compute the days' sales in inventory. (e) Days' Sales in Inventory Company Barco Kyan Numerator: Denominator: x Days Days' Sales in Inventory Days' sales in inventory 0 days 0 days 1A Invent Turnover 1A Days Sal Uncol > Retained earnings 123,300 Total liabilities and equity 142,150 $ 445,440 $ 542,450 Common stock, $5 par value Retained earnings. 18 C 2 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts receivable turnover, (d) inve sales in inventory, and (5 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. ces Ratio 1A Current 1A Acid Test 1A Acct Rec Ratio Turn 1A Invent 1A Days Sal in 1A Days Sal Turnover Inv Uncol 1B short term For both companies compute the days' sales uncollected. (f) Company Barco Kyan Numerator: Days' Sales Uncollected Denominator: Days x Days' Sales Uncollected Days' sales uncollected 0 days 0 days < 1A Days Sal in Inv 1B short term >