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 Data from the current year's balance sheets income statement Assets Sales $800,000 $ 927,200 Cash $ 21,000 $ 30,000 Cost of goods sold Accounts receivable, net 37,400 52,400 Interest expense 590,100 8,400 652,500 19,000 84,640 5,500 290,000 130,500 7,400 Income tax expense 15,377 25,597 Net income 186,123 313,400 Basic earnings per share 4.43 230,103 5.87 3.75 3.98 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 $ 438,540 $533,700 $ 64,340 83,800 210,000 80,400 $ 96,300 99,000 196,000 142,400 $ 438,540 $533,700 Cash dividends per share Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory Total assets Common stock, $5 par value Retained earnings $ 27,800 $ 56,200 57,600 113,400 438,000 210,000 402,500 196,000 51,777 68,313 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover, (c) return on total assets, and (d) return on equity. Assuming that each company's stock can be purchased at $80 per share, compute their (e) price-earnings ratios and (5) dividend yields. 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 2A Ret On Ratio Turn Assets Equity For both companies compute the profit margin ratio. 2A Price Earn Ratio 2A Div Yield Req 281