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 Company Kyan Data from the current year-end balance sheets Assets Data from the current year's income statement Sales $810,000 $915,200 Cash $ 19,000 $37,000 Cost of goods sold 592,100 642,500 53,400 Interest expense 140,500 Income tax expense 9,100 14,000 15,569 25,266 7,758 Net income 193,231 233,434 Basic earnings per share 4.60 4.95 Cash dividends per share 3.77 3.93 Accounts receivable, net 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 37,400 84,740 6,000 330,000 312,408 $477,148 $551,050 $ 60,340 $102,300 81,800 101,000 210,000 236,000 125,000 $477,140 $551,050 111,750 Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory Total assets Common stock, $5 par value Retained earnings $ 28,800 $ 54,200 61,600 111,400 438,000 402,500 210,000 236,000 90,109 63,812 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 (4 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 1A And Test Ratio Ratio 1A Acct Rec Tum 1A Invent Turnover 1A Days Sal in 1A Days Sal 18 short term Inv Uncol For both companies compute the accounts (including notes) receivable turnover. (03 Company Choose Numerator Accounts Receivable Turnover Accounts receivable turnover Osmos Accounts Receivable Turnover Choose Denominator Cost of goods sold Average accounts receivable, net Barco $ 810,000 Kyan 915,200 1A Acid Test Ratio 1A Invent Turnover > Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts receivable turnover. (d inventory furnover, (e) days' sales in inventory, and (4) 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 Inv Invent 1A Days Sal in 1A Days Sal Turnover Uncol 18 short term For both companies compute the inventory turnover. (d) Inventory Turnover Company Choose Numerator Choose Denominator Inventory Turnover. Inventory tumover Barco Kyan 0 times 0 times 1A Acct Rec Turn 1A Days Sal in inv> 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 (1) 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 IA Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Dys Sal in 1A Days Sal Uncol 1B short term For both companies compute the days' sales in inventory. (e) Company Choose Numerator. Barco Kyan Days' Sales in Inventory Choose Denominator: 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 (1) 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 Turnover Inv 1A Invent 1A Days Sal in 1A Days Sal Uncol 18 short term For both companies compute the days' sales uncollected. Company Choose Numerator: Barco Kyan Days' Sales Uncollected Choose Denominator: x Days Daya' Sales Uncollected Days' sales uncollected 0 days 0 days 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. 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1A Days Sal Inv Uncol 18 short term Identify the company you consider to be the better short-term credit risk. Better short-term credit risk Complete this question by entering your answers in the tabs below. ZA Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On Com 2A Price Earn Ratio Turn Assets Stock For both companies compute the total asset turnover (b) Company Choose Numerator: Ratio 2A Div Yield Req 28 Total Asset Turner Choose Denominator: Total Asset Turnover Total asset turnover Barco Kyan 0 times O times Complete this question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset 2A et on Tot 2A Ret On Com 2A Price Earn Ratio Turn Assets Stock For both companies compute the return on total assets. Ratio (c) Company Choose Numerator: Barco Kyan 2A Div Yield Req 28 Return on Total Assets Choose Denominator: Return on Total Assets Return on total assets 0% 0% Complete this question by entering your answers in the tabs below. 2A Prof Mar Ratio ZA Tot Asset 2A Ret on Tot 2A Ret G Com 2A Price Earn Turn Ratio Assets Stock For both companies compute the return on common stockholders' equity. (d) Company Barco Kyan Choose Numerator: 1 2A Div Yield Req 28 Return On Common Stockholders' Equity Choose Denominator Return On Common Stockholders' Equ Return On common stockholders' equity 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On Com 2A Price Earn 2A Div Yield Ratio Turn Assets Stock Ratio Req 2B Assuming that share and each company's stock can be purchased at $90 per share, compute their price-earnings ratios. Company Choose Numerator: Barco Kyan Price-Earnings Ratio Choose Denominator: Price-Earnings Ratio Price-earnings ratio 0 times 0 times Complete this question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset Ratio Turn 2A Ret on Tot 2A Ret On Com 2A Price Earn Assets Stock Ratio 2A C Yield Req 2B Assuming that each company's stock can be purchased at $90 per share, compute their dividend yields. ( Company Choose Numerator: Barco Kyan Dividend Yield Choose Denominator: Dividend Yield Dividend yield 0% 0% as the better investment. Complete this question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On Com 2A Price Earn Ratio Turn Assets Stock Ratio 2A Div Yield Req 28 Identify which company's stock you would recommend as the better investment. The better investment