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 Kyan Company Company Data from the current year-end balance sheets Assets Cash $ 18,500 $ 31,000 Accounts receivable, net 40,400 59,400 Current notes receivable (trade) 9.500 7.600 Merchandise inventory 84,640 140,500 Prepaid expenses 5.100 7.150 Plant assets, net 300,000 309,400 Total assets $458,140 $555,050 Barco Kyan Company Company Data from the current year's income statement Sales $770,000 $899,200 cost of goods sold 591,100 632,500 Interest expense 9,100 10,000 Income tax expense 14,800 24,824 Net Income 155,000 231, 876 Disie earnings per share 3.69 4.71 Cash dividends per share 4.00 3.73 $ 30,800 $ 32.00 Liabilities and Equity Current liabilities Long-term notes payable Common stock, 85 par value Retained earnings Total liabilities and equity $ 71,340 $ 97,300 80,800 105,000 210,000 246,000 96,000 106,750 $458,140 $555,050 Beginning-of-year balance sheet data Accounts receivable, net Current notes receivable (trade) Merchandise inventory Total assets Common stock, $5 par value Retained earnings 63,600 458,000 210,000 97,660 113.400 372,500 246,00 71,674 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, ( accounts (including notes) receivable turnover, (o) inventory turnover, (c) days' sales in inventory, and 4 days' sales uncollected. (Do not round intermediate calculations.) 1b. Identify the company you consider to be better short-term credit risk