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 Company Kyan Company Barco Company Kyan Company Data from the current year-end balance sheets Data from the current year's income statement Assets Sales $770,000 $880,200 Cash Accounts receivable, net $19,500 46,500 $ 34,000 Cost of goods sold 585,100 632,500 64,600 Interest expense 7,900 13,000 es 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 Total liabilities and equity 5,000 290,000 132,500 6,950 304,400 5 445,440 $ 542,450 84,440 Income tax expense 14,800 24,300 Net income 162,200 210,400 Basic earnings per share 4.51 5.11 Cash dividends per share 3.81 3.93 Beginning-of-year balance sheet data $ 61,340 $93,300 Accounts receivable, net $29,800 $ 54,200 80,800 180,000 123,300 $445,440 101,000 206,000 Merchandise inventory 55,600 107,400 Total assets 398,000 382,500 142,150 542,450 Common stock, $5 par value 180,000 206,000 Retained earnings 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 () 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) in sales in inventory, and (5) 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 1A Acid Test Ratio Ratio 1A Acct Rec Turn 1A Invent 1A Days Sal in 1A Days Sal Turnover Inv Uncol 1B short term