Summary information from the financial statements of two companies competing in the same industry follows. Kyan Company Barco Company Data from the current year-end balance sheets Assets Cash Accounts receivable, net 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 Barco Company $ 22,500 37,400 84,440 6,100 360,000 $ 510,440 $70,340 83,800 200,000 156,300 $ 510,440 $ 32,000 57,400 136,500 6,950 307,400 $540,250 $ 101,300 111,000 246,000 81,950 $ 540,250 Data from the current year's income statement Sales Cost of goods sold Interest expense Income tax expense Net income Basic earnings per share Cash dividends per share Beginning-of-year balance sheet data Accounts receivable, net Merchandise inventory Total assets Common stock, $5 par value Retained earnings $760,000 592,100 8,400 14,608 144,892 3.62 3.70 $ 30,800 63,600 408,000 200,000 159,408 Kyan Company $ 901,200 636,500 16,000 24,879 223,821 4.55 3.94 $ 56,200 107,400 412,500 246,000 51,977

Summary information from the financial statements of two companies competing in the same industry follows. Required: 1o. For both companies compute the (d) current ratio, (b) acid-test ratio, (c) accounts receivable turnover, (d) inventory turnover, (e) days" saies in inventory, and ( f ) days' sales uncollected. Note: Do not round intermediate colculations. 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. for both companies compute the acid-test ratio