! 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. Barco Kyan Company Company Data from the current year-end balance sheets Assets Cash $ 19,500 $ 36,000 Accounts receivable, net 38,400 51,400 Merchandise inventory 84,540 138,500 Prepaid expenses 5,100 7,750 Plant assets, net 350,000 307, 400 Total assets $ 497,540 $541,050 Barco Kyan Company Company Data from the current year's income statement Sales $770,000 $910,200 Cost of goods sold 591,100 638,1500 Interest expense 9,200 16,000 Income tax expense 14,800 25,128 Net income 154,900 230,572 Basic earnings per share 3.52 4.69 Cash dividends per share 3.73 3.97 | Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Retained earnings Total liabilities and equity $ 70,340 $ 96,300 79,800 115,000 220,000 246,000 127,400 83,750 $497,540 $541,050 Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory Total assets Common stock, $5 par value Retained earnings $ 27,800 $ 51,200 59,600 117,400 458,000 402,1500 220,000 246,000 136,620 48,1502 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 () days' sales uncollected. (Do not round intermediate calculations.) 1b. Identify the company you consider to be the better short-term credit risk. 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 ( 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. 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in Inv 1A Days Sal Uncol 1 B short term For both companies compute the current ratio. (a) Current Ratio Company Choose Numerator: 1 Choose Denominator: Current Ratio / Current ratio Barco 1 to 1 Kyan 1 to 1