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 income statement Assets Sales $810,000 $920,200 Canh $ 20,000 $ 36,000 Cost of goods sold 589,100 646,500 Accounts receivable, net 38,400 57,400 Interest expense 7.900 17,000 Merchandise inventory 85,040 136,500 Income tax expense 15,569 25,404 Prepaid expenses 5,400 7,350 Net Income 197,431 231,296 Plant assets, net 350,000 304,400 Basic earnings per share 5.20 4.70 Total assets $498,840 $541.650 Cash dividends per share 3.77 3.94 Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Retained earnings Total liabilities and equity $ 67,340 $ 92.300 80,000 105,000 190.000 246,000 160,200 98,350 $498,840 $541,650 Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory Total assets Common stock, $5 par value Retained earnings $ 30,800 $ 58,200 63,600 111,400 428,000 402,1500 190,000 246,000 106,529 50,902 Problem 13-5A Part 1 Required: 1a. For both companies compute the (a) current ratio. (6) acid-test ratio. ( accounts receivable turnover. (d) inventory turnover (el 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