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 Kyan Company Company Data from the current year-end balance sheets Assets Data from the current year's income statement Sales $790,000 $885,200 Cash $ 18,000 $ 30,000 Accounts receivable, net Merchandise inventory Prepaid expenses Plant assets, net Total assets Liabilities and Equity Current liabilities Long-term notes payable 38,400 84,640 52,400 5,500 130,500 7,150 Cost of goods sold Interest expense Net income 586, 100 646,500 8,000 11,000 Income tax expense 15, 185 24,438 180, 715 203, 262 340,000 312, 400 Basic earnings per share 5.02 4.71 $486, 540 $532,450 Cash dividends per share 3.72 4.02 $ 65,340 $ 91,300 Common stock, $5 par value 82,800 180,000 111,000 Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory 216,000 Total assets Retained earnings 158, 400 114,150 Common stock, $5 par value Total liabilities and equity $486, 540 $532, 450 Retained earnings $ 30,800 $ 53, 200 61, 600 107,400 458,000 422,500 180,000 216,000 111, 605 84,552