Summary information from the financial statements of two companies competing in the same Industry follows. Barco kyan Barco Kyan Company Company Company Company Data from the current year-end balance sheets Data from the current year's incone statement Assets Sales $770,000 $880, 200 Cash $ 19,500 $ 34,888 Cost of goods sold 585,100 632,588 Accounts receivable, net 46,500 64,600 Interest expense 7,900 13,000 Merchandise inventory 84,440 132,500 Income tax expense 14,800 24,300 Prepaid expenses 5,800 6,950 Net incone 162,200 210,400 Plant assets, net 290,000 304,400 Basic earnings per share 4.51 5.11 Total assets $445,440 $542, 450 Cash dividends per share 3.81 3.93 Liabilities and Equity Beginning-of-year balance sheet data Current liabilities $ 61,340 $ 93,300 Accounts receivable, net $ 29,800 $ 54,200 Long-term notes payable 80,880 101,00 Merchandise inventory 55,600 107,400 Common stock, $5 par value 180,000 206,000 Total assets 398,000 382,500 Retained earnings 123,300 142,150 Connon stock, $5 par value 180,000 206,000 Total liabilities and equity $445,440 $542,450 Retained earnings 98,300 93,600 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (accounts receivable turnover (inventory turnover. (e) days sales in inventory, and (days' sales uncollected. (Do not round Intermediate calculations.) 15. 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 For both companies compute the current ratio. Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, ( accounts receivable turnover, (c) inventory turnover (e) days! sales in inventory, and (7 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 Uncol 1B short term For both companies compute the current ratio. (a) Company Choose Numerator: Current Ratio Choose Donominator: Current Ratio Current ratio 1 1 1 1 Barco Kyan Oto 1 Oto 1 TACT 1A Acid Test Ratio > Required: 1a. For both companies compute the () current ratio, (b) acid-test ratio. (d accounts receivable turnover, (cinventory turnover (e) days! sales in inventory, and (7 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 Salin 1A Days Sal Inv Uncol 1B short term For both companies compute the acid-test ratio. Acid-Test Ratio (b) Company Choose Numerator: Choose Denominator: Acid-Test Ratio Acid-test ratio 0 to 1 O to 1 Barco Kyan Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, ( accounts receivable turnover. (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 Acid Test 1A Acct Rec 1A Invent A Days Sal in 1A Days Sal Ratio Ratio Turn 13 short term Turnover Inv Uncol For both companies compute the accounts (including notes) receivable turnover. (c) Accounts Receivable Turnover Company Choose Numerator: Choose Denominator Accounts Receivable Turnover 1 = Accounts receivable turnover Barco O times Kyan 1 O times Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts receivable turnover (c) 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 1A Acct Rec 1A Invent 1A Days Sal in 1A Days Sal Ratio Ratio Turn 10 short term Turnover Inv Uncol For both companies compute the inventory turnover. (d) Inventory Turnover Company Choose Numerator 1 Choose Denominatori Inventory Turnover Inventory turnover Barco 1 O times Kyan O times 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 (7 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 IA Acid Test 1A Acct Rec 1A Invent 1A Days Salin IA Days Sal Ratio Ratio Turn Turnover Uncol 1B short term Inv For both companies compute the days' sales in Inventory. (0) Days Sales In Inventory Company Choose Numerator Choose Denominator Days Days Sales In Inventory Days: sales in inventory Barco K o days Kyan 1 o days 1A Invent Turnover 1A Days Sal Uncol > - Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts recelvable turnover, (o) 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 1A Acct Rec 1A Invent 1A Days Salin IA Days Sal Ratio Ratio 10 short term Turn Turnover Inv Uncol For both companies compute the days' sales uncollected. Days' Sales Uncollected Company Choose Numerator: Choose Denominator: x Days Days Sales Uncollected Days' sales uncollected Barco 1 o days Kyan 1 X X o days 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 $75 per share, compute thelr(e) 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. 2A Price Earn Ratio 2A Div Yield Reg 28 2A Pro Mar 2A Tot Asset 2A Ret on Tot 2A Ret On Ratio Turn Assets Com Stock For both companies compute the profit margin ratio. (a) Company Profit Margin Ratio Choose Denominator: Choose Numeratori 1 Profit margin ratio Profit margin ratio % % Barco Kyan 1 1 ZAM 2A Tot Asset Turn > 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover (c) return on total assets, and (c) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute their (e) 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. 2A Price Earn Ratio 2A Div Yield 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On Ratio Turn Assets Com Stock For both companies compute the total asset turnover Reg 28 (b) Company Choose Numerator: Total Asset Turnover Choose Denominator: Total Asset Turnover Total asset tumover times times Barco Kyan (2A Prof Mar Ratio 2A Reton Tot Assets 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 $75 per share, compute their (el price-earnings ratios and in 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. 2A Prof Mar 2A Tot Asset 12A Ret on Tot 2A Ret On 2A Price Earn 2A Div Yield Reg 28 Ratio Assets Tum Com Stock Ratio For both companies compute the return on total assets. (c) Return on Total Assets Company Choose Numerator. Choose Denominator - Return on Total Assets Return on total assets Barco % Kyan % 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover (c) return on total assets, and (d) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute thelr(e) 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. Reg 28 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2 Ret On ZA Price Earn 2A DIV Yield Ratio Turn Assets Com Stock Ratio For both companies compute the return on common stockholders' equity. (d) Company Return On Common Stockholders' Equity Choose Denominator Choose Numerator: Return On Common Stockholders' Equity Return on common stockholders' equity $ Barco Kyan % 2a. For both companies compute the (a) profit margin ratio. (b) total asset turnover (c) return on total assets, and (c) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute their (e) 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. 2A Prof Mar 2A Tot Asset 2A Ret on Tot ZA Ret On 2A Price Eam Ratio Turn Assets Com Stock Ratio 2A Div Yield Reg 28 Assuming that each company's stock can be purchased at $75 per share, compute their dividend yields (0) Dividend Yield Company Choose Numerator Choose Denominator Dividend Yield Dividend Yield Barco % Kyan 1 %