[The following information applies to the questions displayed below.] 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 balance sheets Data from the current years income statement Assets Sales $ 790,000 $ 898,200 Cash $ 19,000 $ 34,000 Cost of goods sold 595,100 650,500 Accounts receivable, net 37,400 53,400 Interest expense 9,200 18,000 Current notes receivable (trade) 9,500 8,200 Income tax expense 15,185 24,797 Merchandise inventory 85,040 134,500 Net income 170,515 204,903 Prepaid expenses 5,600 7,500 Basic earnings per share 4.06 4.34 Plant assets, net 290,000 307,400 Cash dividends per share 3.78 3.94 Total assets $ 446,540 $ 545,000 Beginning-of-year balance sheet data Liabilities and Equity Accounts receivable, net $ 26,800 $ 53,200 Current liabilities $ 67,340 $ 103,300 Current notes receivable (trade) 0 0 Long-term notes payable 80,800 115,000 Merchandise inventory 57,600 111,400 Common stock, $5 par value 210,000 236,000 Total assets 428,000 392,500 Retained earnings 88,400 90,700 Common stock, $5 par value 210,000 236,000 Total liabilities and equity $ 446,540 $ 545,000 Retained earnings 76,645 71,765 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (c) accounts (including notes) receivable turnover, (d) inventory turnover, (e) days sales in inventory, and (f) days sales uncollected. (Do not round intermediate calculations.) 1b. Identify the company you consider to be better short-term credit risk.