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Summary information from the financial statements of two companies competing in the same industry follows, Barco Company Ryan Company Data from the current year-end balance

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Summary information from the financial statements of two companies competing in the same industry follows, Barco Company Ryan Company Data from the current year-end balance sheets Assets Cash Accounts receivable. net Merchandise inventory Prepaid expenses Plant assets, net Total aneto Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Retained earnings Total liabilities and equity Barco kyan Company Company Data from the current year's Income statement Sales $ 21,500 $ 36,000 Cont of goods sold 38,400 54,400 Interest expense 84,340 134,500 Income tax expense 5,500 7,400 Net Income 360,000 305, 400 Basle earnings per share $ 509,740 $ 537,700 Cash dividenda per share Beginning-of-year balance sheet data $ 67,340 $ 104,300 Accounts receivable, net 80,800 117,000 Merchandise inventory 210,000 246,000 Total assets 151.600 70,400 Common stock, 55 par value $ 509,740 $ 537,700 Retained earnings $760,000 $879,200 590.100 644,500 8,600 10,000 14,600 24,272 146,692 192,428 3.49 3.91 3.80 3.99 $ 30,000 57,600 380,000 210,000 164,508 $ 52,200 109,400 372,500 246,000 74,280 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover, (return on total assets, and (c) return on equity. Assuming that each company's stock can be purchased at $85 per share, compute their (e) price-earnings ratios and (dividend ylelds. 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 Tot Asset 2A Ret on Tot 2A Ret On ZA Price Earn ZA Prof Mar 2A Div Yield Rea 2B Prey 5 of 5 Next Complete this question by entering your answers in the tabs below. Req 2B 2A Prof Mar 2A Tot Asset 2A Ret on Tot 2A Ret On 2A Price Earn Ratio Turn Assets Equity 2A Div Yield Ratio For both companies compute the profit margin ratio. (a) Prolit Margin Ratio Company Numerator: Denominator: Profit margin ratio Profit margin ratio Barco % Kyan % 2A Tot Asset Turn > 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 Equity For both companies compute the total asset turnover Req 2B (b) Company Total Asset Turnover Denominator: Numerator: 1 1 Total Asset Turnover Total asset turnover times Barco = Kyan times you would recommend as the better investment. Complete this question by entering your answers in the tabs below. 2A Div Yield Reg 2B 2A Prof Mar 2A Tot Asset 2A Ref on Tot 2A Ret On 2A Price Earn Ratio Turn Assets Equity Ratio For both companies compute the return on total assets. (c) Return on Total Assets Company Numerator: Denominator: Return on Total Assets Return on total assets % Barco Kyan % 2A Tot Asset Turn 2A Ret On Equity Complete this question by entering your answers in the tabs below. 2A Prof Mar Ratio 2A Tot Asset 2A Ret on Tot Turn Assets 2A Re on Equity 2A Price Earn Ratio 2A Div Yield Reg 2B For both companies compute the return on equity. Return On Equity Denominator Company Numerator: Return On Equity Return On equity % Barco Kyan % web question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset 24 Ret on Tot 2A Ret On 2A Price Earn Ratio Turn Assets 2A Div Yield Ratib Reg 20 Equity Assuming that share and each company's stock can be purchased at $85 per share, compute their price-camnings ratios (0) Price Earnings Ratio Company Numerator: Denominatori Price Earnings Ratio Price earnings ratio Barco times Kyan times . WITCH Company 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 2A Price Earn 2A DIV Yeld Req 2B Ratio Turn Assets Equity Ratio Assuming that each company's stock can be purchased at $85 per share, compute their dividend yields, (1) Company Dividend Yield Denominator: Numerator: Dividend Yield Dividend yield % Barco % Kyan

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