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 Sales Barco kyan Barco Company Company kyan Data from the current year-end balance sheets Company Com Assets Data from the current year's Income statement Cash $770,000 5911,200 $ 20,000 $ 36,000 Cost of goods sold 591,100 614,500 Accounts receivable, net 36,400 53,400 Interest expense 9,000 Merchandise inventory 12.000 84,640 138,500 Income tax expense 14,100 25.155 Prepaid expenses 5,200 7.550 Net Income 155,100 219,545 Plant assets, net 300,000 309,400 Basic earnings per share 3.88 6.11 Total assets $446,240 8544,850 cash dividends por share 3.75 4.00 Liabilities and Equity Beginning of year balance sheet data Current liabilities $ 69,340 $ 93,300 Accounts receivable, net $ 31,500 $ 57,200 Long-term notes payable 86,500 113,000 Merchandise inventory 61,600 115,400 200,000 Common stock, 55 par value 196,000 Total assets 395,000 4025 Retained earnings 90,100 142.550 Connon stock, 55 par value 200.000 196,000 84,200 59.00 $446,240 $544,850 Retained earnings Total liabilities and equity 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover (return on total assets, and (c) return on common stockholders' equity Assuming that each company's stock can be purchased at $80 per share, compute their le price earnings ratios and (1) dividend yields (Do not round intermediate calculations. Round your answers to 2 decimal places.) 2b. Identify which company's stock you would recommend as the better investment Complete this question by entering your answers in the tabs below. 14 Beton 2A Price Earn 2A Diy Yield Reg 20 and dividend yields (Do not round Intermediate calculations, Round your answers to 2 decimal places.) 2b. Identity which company's stock you would recommend as the better investment Complete this question by entering your answers in the tabs below. + ZA Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn Ratio Turn Assets Com Stock Ratio 2A Div Yuld Reg 28 For both companies compute the return on common stockholders equity Return On Common Stockholders' Equity Company Choose Numerator Choose Denominator cs - Return On Common Stockholders' Equity Return On common stod holders equly OS Barco Kyan CD 11 12 w 19 O RI here to search Sed stockholders' equity Assuming that each company's stock can be purchased at 80 per share, compule 17 and ( dividend yields (Do not round intermediate calculations. Round your answers to 2 decimal places.) 2b. Identity which company's stock you would recommend as the better investment BOOM Complete this question by entering your answers in the tabs below. References 2A Prof Mar 2A Tot Asset 2A Reton Tot 2A Reton Ad Earn Ratio Turn Assets 2A DIV Yield Ratio Red 20 Com Stock Assuming that share and each company's stock can be purchased at $80 per share, compute their price earnings ratios, Price Earnings Ratio Company Choose Numerator: Choose Denominator * Price-Earnings Ratio Price-camins ratio Barco Omos O times Kyan G 11 12 Mc Graw HIN W O E Type here to search od 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover (return on total assets, and (c) return on com stockholders' equity. Assuming that each company's stock can be purchased at $80 per share, compute their le price-earnings ram and ( dividend yields (Do not round intermediate calculations. Round your answers to 2 decimal places.) 2b. Identify which company's stock you would recommend as the better investment SOK Complete this question by entering your answers in the tabs below. int rences 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn Ratio Turn Assets Com Stock 2A Div Yield Reg 28 Ratio Assuming that each company's stock can be purchased at $80 per share, compute their dividend yields. in Dividend Yield Company Choose Numerator: Choose Denominator Dividend Yield Dividend yield 0 % Barco 0 % Kyan 2A Price Earn Ratio Reg 2B> 11 12 of 12 ! Next >