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. Barcol 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 $ 790,000 $ 928,200 Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Cash Accounts receivable, net $ 21,500 38,400 84,240 5,600 280,000 $ 32,000 51,400 136,500 $ 429,740 7,500 312,400 $539,800 Basic earnings per share Cash dividends per share $ 64,340 $ 101,300 Retained earnings 86,800 200,000 78,600 113,000 206,000 Total assets 119,500 Total liabilities and equity $ 429,740 $ 539,800 Common stock, $5 par value Retained earnings Cost of goods sold Interest expense Income tax expense Net income 587,100 8,400 642,500 17,000 15,185 25,625 179,315 243,075 4.48 3.79 5.90 3.93 Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory $ 28,800 $ 51,200 59,600 111,400 438,000 392,500 200,000 206,000 50,885 38,341 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 (f) 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. Ratio 1A Current 1A Acid Test 1A Acct Rec Ratio Turn 1A Invent 1A Days Sal in 1A Days Sal Turnover For both companies compute the current ratio. Inv Uncol (a) Company Numerator: 1B short term Current Ratio Denominator: Current Ratio