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[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			Kyan Company
Data from the current year-end balance sheets								Data from the current years income statement
Assets								Sales	$	780,000		$	898,200
Cash	$	19,500		$	37,000			Cost of goods sold		596,100			648,500
Accounts receivable, net		34,400			59,400			Interest expense		8,100			17,000
Merchandise inventory		84,840			140,500			Income tax expense		14,992			24,797
Prepaid expenses		6,200			7,650			Net income

Kyan Company Barco kyan Barca Company Company Company Data from the current year-end balance sheets Data from the current year's income statement Assets Sales $780,000 Cash $ 19,500 $ 37.000 Cost of goods sold 596, 109 Accounts receivable, net 34.400 59,400 Interest expense 8,180 Merchandise inventory 84,840 140, 500 Income tax expense 14,992 Prepaid expenses 6.2007 , 650 Net Income 160, BOB Plant assets, net 370,000 310,40 Basic earnings per share 4.47 Total assets $514,940 5554,950 Cash dividends per share 3.80 $898,280 548 see 17.000 24.797 207.903 $.95 3.94 Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Retained earnings Total liabilities and equity $ 60,340 $102,300 78,800 107. 188,003 206,000 195Bee 139.650 $514,940 5554,950 Beginning of year balance sheet data Accounts receivable, net Merchandise inventory Total assets common stock, $ par value Retained earnings $ 27,800 $ 55,209 59,60 105, 109 398, 37250 180,00 206, cee 121,79294875 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover. I return on total assets, and (d) return on common stockholders' equity Assuming that each company's stock can be purchased at $70 per share, compute their le price earnings ratios 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 Complete this question by entering your answers in the tabs below. ZA DIV Yield Reg 28 2A Prof Mar 2A Tot Asset 2A Ret on Tot Turn Assets 2A Ret On Com Stock 2A Price Ear Ratio Ratio For both companies compute the profit margin ratio. Company Choose Numerator: Choose Denominator Profit margin ratio Profit margin ratio - Barco Kyan 2A Tot Asset Tum >