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mework Saved Help Save & Exit Submit my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to question Problem 13-5A (Static) Comparative ratio analysis LO P3 [The following information applies to the questions displayed below] Summary information from the financial statements of two companies competing in the same industry follows Barco Kyan Barco Company Company Company Company Data from the current year-end balance sheets Data from the current year's income statement Assets Sales $770,000 $880,200 Cash $ 19,500 $ 34,000 Cost of goods sold 585, 100 632,500 Accounts receivable, net 46,500 64,600 Interest expense 7,900 13,000 Merchandise inventory 84,440 132,500 Income tax expense 14,800 24,300 Prepaid expenses 5, eee 6,950 Net income 162,200 210,400 Plant assets, net 290,000 384,400 Basic earnings per share 4.51 5.11 Total assets $445,440 5542,450 Cash dividends per share 3.81 3.93 Kyan Liabilities and Equity Current liabilities Long-term notes payable Common stock, 55 par value Retained earnings Total liabilities and equity Beginning-of-year balance sheet data $ 61,340 $ 93,380 Accounts receivable, net 80,82 101,000 Merchandise inventory 180,000 206,000 Total assets 123,300 142,150 Common stock, 55 par value $445,440 5542,450 Retained earnings $ 29,800 $ 54.zee 55,600 207,400 398.000 382,500 180,000 205.000 98,320 $3.500 Prev 1 2 of 2 !!! Next > 13-Homework Saved Help Save & Exit Subm Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion Return to question Problem 13-5A (Static) Part 1 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio. (c) accounts receivable turnover. (Inventory turnover (e) days sales in inventory, and (days' sales uncollected. (Do not round intermediate calculations.) tb. Identify the company you consider to be the better short-term credit risk. Answer is not complete. Complete this question by entering your answers in the tabs below. 13 short term 1A Current 1A Acid Test 1A Acct Rec 1A invent A Days Salin A Days Sat Ratio Ratio Turn Turnover Inv Uncol Identify the company you consider to be the better short-term credit risk. Bet short-term credit risk Barco company Prev of 2 : Next > AARR A hARA A Avalle wiele Required information W Answer is not complete. Complete this question by entering your answers in the tabs below. 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1A Days Sal Inv Uncol 1B short term For both companies compute the current ratio. (a) Company Choose Numerator: Current assets S 60,340 / $ 92,300 / Current Ratio Choose Denominator: Current liabilities S 146,040 - $ 225,350 % - Barco Kyan Current Ratio Current ratio 0.4 to 1 0.4 to 1 1A Acid Test Ratio > Prev 1 2 of 2 Next > -Homework Saved Help Savo & Exit s -ck my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate completion. Return to quest Required information 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1A Days Sal Iny Uncol 1B short term For both companies compute the acid-test ratio. (1) Acid-Test Ratio Company Choose Numerator: Current assets S 146,040 Choose Denominator: Current liabilities Barco $ Cost of goods sold Current receivables 84,840 $ 5,300 134,500 $ + $ 7.450 $ Acid-Test Ratio Acid-test ratio to 3.9 1 4.0 to 1 60,340 Kyan $ 225,350 92,300 Prev 1 of 2 !!! Next > Required information 2 1A Current 1A Acid Test 1A Acct Rec 1A Invent 1A Days Sal in 1A Days Sal Ratio Ratio Turn Turnover 1B short term Iny Uncol For both companies compute the accounts (including notes) receivable turnover. (c) Accounts Receivable Turnover Choose Company Numerator: Choose Denominator: Accounts Receivable Turnover Net sales 1 Average accounts receivable, net Accounts receivable turnover Barco $ 770,000 S 32,100 24.0 times Kyan S 890,200 $ 54,800 16.2 times COP Prev 1 2 of 23 Next > 1 Required information 102 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1A Days Sal Iny Uncol 1B short term For both companies compute the inventory turnover. (d) Inventory Turnover Company Choose Numerator: Choose Denominator: Inventory Turnover Cost of goods sold Average inventory Inventory turnover Barco $ 590,100 $ 70.220 8.4 times Kyan 642,500 $ 121,950 5.3 times CS Prev 1 2 of 2 Next > ork 1 com 252Fmghmiddler Saved Theck my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate complet Help Save & Exit Return to Required information 13 short term 1A Current 1A Acid Test 1A Acct Rec 1A Invent 1A Days Sal in 1A Days Sal Ratio Ratio Turn Turnover Inv Uncol For both companies compute the days' sales in inventory. (e) Days' Sales in Inventory Company Choose Numerator: Choose Denominator: Days X 365 Barco X Kyan x Days' Sales in Inventory Days' sales in inventory 0 days 0 days 1A Invent Turnover 1A Days Sal Uncol > Prev 2 of 2 !!! Next > SAV Check my work mode : This shows what is correct or incorrect for the work you have completed so far. It does not indicate ce Re 1 1. Required information of 2 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1 A Days Sal Inv Uncol 18 short term For both companies compute the days' sales uncollected. in Days' Sales Uncollected Company Choose Numerator: Choose Denominator: Days Accounts 1 365 receivable, net Barco Kyan X Days' Sales Uncollected Days' sales uncollected 0 days 0 days X Prev CO 1 2 of 2 !!! Next >

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