Question: please do in some type of boxes to easily understand. Required information Problem 13-5A Comparative ratio analysis LO P3 [The following information applies to the














Required information Problem 13-5A Comparative ratio analysis LO P3 [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 Barco kyan Company Company Company Company Data from the current year-end balance sheets Assets Data from the current years income statement Sales $750,000 $10,200 Cash + 19,500 $ 34,000 Cost of goods sold 585,100 632,500 Recounts receivable, net 46,500 64.600 Interest expense 7,900 13,000 Merchandise inventory 84,440 132,500 Income tax expense 24,000 Prepaid expenses 5,000 6,950 Net Income 162,200 210, 400 Plant assets, bet 290.000 304,400 Basic earnings per share 4.51 Total assets $445,440 5542,450 Cash dividende per share 3.93 Liabilities and Equity Beginning-of-year balance sheet data Current liabilities $ 61,340 $ 93,300 Accounts recelvable, net $ 29,800 $ 54,200 Long-term notes payable 80.800 101,000 Merchandise Inventory 55,600 107,400 180,000 205,000 Common stock, 55 par value Total assets 398,000 382,500 12:30 Retained earnings 142.159 Common stock, 55 par value 180,000 206.000 Total liabilities and equity 5445,440 5542,450 Retained earnings 98,300 14,800 3.11 91.600 Problem 13-5A Part 1 Required: 1a. For both companies compute the (a current ratio, (b) acid-test ratio, ( accounts receivable turnover (inventory turnover (c) 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. Answer is not complete. Complete this question by entering your answers in the tabs below. 1 short term 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Salin 1A Days Sal Iny Uncol For both companies compute the current ratio. (a) 1 Company Choose Numerator Current assets 155.440 Current Ratio Choose Denominator: Current liabilities $ 61.340 Current Ratio Current rabo 25 to 1 Barco 8 Pro of 3 Next > Problem 13-5A Part 1 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, ( accounts receivable turnover, () inventory turnover, (e) days' sales in inventory, and (days sales uncollected. (Do not round intermediate calculations.) 15. Identify the company you consider to be the better short-term credit risk. Answer is not complete. Complete this question by entering your answers in the tabs below. 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Salin Iny 1A Days Sal Uncol 18 short term For both companies compute the current ratio. Company Choose Numerator: Current assets old s 155,440 238,050 / Current Ratio Choose Denominator: Current liabilities - $ 61,340 - $ 93,300 - Current Ratio Current ratio 2.5 to 1 2.6 to 1 Barco Kyan A Gutto 1A Acid Test Ratio > Problem 13-5A Part 1 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (accounts receivable turnover (Inventory turnover. (e) 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. Answer is not complete Complete this question by entering your answers in the tabs below. 1A Current Ratio 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Salin 1A Days Sal Inv Uncol 18 short term For both companies compute the acid-test ratio. (b) Acid-Test Ratio Company Choose Numerator Acid-Test Ratio x 33 Current liabilities Cash Choose Denominator Average accounts receivable, net $ 54,200 - $ 64,400 - Acid-test ratio 29 to 1 3.7 to 1 Not sales X! 29,800 46,500 $ $ $ Barco Kyan 66,000 + 98,600 X 61,340 + 93,300 + $ $ $ Problem 13-5A Part 1 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (accounts receivable turnover, () inventory turnover, (e) days' sales in inventory, and (7 days' sales uncollected. (Do not round intermediate calculations.) 1b. Identify the company you consider to be the better short-term credit risk. Answer is not complete. Complete this question by entering your answers in the tabs below. 1A Current Ratio 1A Acid Test Ratio 16 short term 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1A Days Sal Inv Uncol For both companies compute the accounts (including notes) receivable turnover. Accounts Recevable Turnover (c) Choose Numerator: Choose Denominator: Company Accounts Receivable Turnover Accounts receivable turnover 0 times 0 times Barco Kyan 1A Invent Turnover > Problem 13-5A Part 1 Required: 1a. For both companies compute the (6) current ratio. (b) acid-test ratio. (c) accounts receivable turnover (o inventory turnover (e) days sales in inventory, and (7 days' sales uncollected. (Do not round intermediate calculations.) 1b. Identify the company you consider to be the better short-term credit risk Answer is not complete. Complete this question by entering your answers in the tabs below. 1A Current Ratio 1B short term 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Sal in 1A Days Sal Iny Uncol For both companies compute the days' sales in inventory. (0) Days' Sales In Inventory Choose x Days Denominator: Company Choose Numerator: X Days' Sales In Inventory Days' sales in inventory 0 days 0 days X Barco Kyan Problem 13-5A Part 1 Required: 1a. For both companies compute the (a) current ratio, (b) acid-test ratio, (accounts receivable turnover, (d) Inventory turnover (e) 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. Answer is not complete, Complete this question by entering your answers in the tabs below. 1A Current Ratio 18 short term 1A Acid Test Ratio 1A Acct Rec Turn 1A Invent Turnover 1A Days Salin 1A Days Sal Inv Uncol For both companies compute the days' sales uncollected. 10 Days' Sales Uncollected Choose Denominator Days Company Choose Numerator: Days' Sales Uncollected Days' sales uncollected 0 days 0 days x Barco Kyan 1B short term > Problem 13-5A Part 2 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover, (a return on total assets, and (c) return on common stockholders' equity Assuming that each company's stock can be purchased at $75 per share, compute their (e) price-earnings ratios and dividend yields. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 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 Ret On Com Stock 2A Price Earn Ratio 2A Div Yield 2A Tot Asset 2A Ret on Tot Turn Assets Req 28 Ratio For both companies compute the total asset turnover (6) Company Total Asset Turnover Choose Denominator: Choose Numerator: Total Asset Turnover Total asset turnover times Barco times Kyan (2A Prof Mar Ratio 2A Ret on Tot Assets > Problem 13-5A Part 2 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover (a return on total assets, and (c) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute thelr(e) price earnings ratios and dividend yields. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 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 Ratio 2A Tot Asset 2A Ret on Tot Turn Assets 2A Ret On Com Stock 2A Price Earn Ratio 2A Div Yield Reg 28 For both companies compute the return on total assets. (c) Company Return on Total Assets Choose Denominator Choose Numerator: = Return on Total Assets Return on total assets % Barco Kyan Problem 13-5A Part 2 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover. (dreturn on total assets, and (c) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute their (e price-earnings ratios and () dividend yields. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 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 Ratio 2A Tot Asset 2A Ret on Tot Turn Assets 2A Ret On Com Stock 2A Price Earn Ratio 2A Div Yield Reg 28 For both companies compute the return on common stockholders' equity (d) Company Return On Common Stockholders' Equity 1 Choose Denominator Choose Numerator: Return On Common Stockholders' Equity Return on common stockholders' equity Barco Kyan 1 Problem 13-5A Part 2 2a. For both companies compute the (s) profit margin ratio, (b) total asset turnover. (return on total assets, and (c) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute their (e) price earnings ratios and ( dividend yleids. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 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 Ret On Com Stock 2A Price Earn Ratio 2A Div Yield Reg 28 2A Prof Mar 2A Tot Asset 2A Ret on Tot Ratio Turn Assets Assuming that share and each company's stock can be purchased at $75 per share, compute their price-earnings ratios. (0) Company Price-Earnings Ratio 1 Choose Denominator 7 Choose Numerator: Price-Earnings Ratio Price-Earnings Ratio times times 1 4 Barco Kyan 2A Div Yield > Problem 13-5A Part 2 2a. For both companies compute the (a) profit margin ratio, (b) total asset turnover, (a return on total assets, and (d) return on common stockholders' equity. Assuming that each company's stock can be purchased at $75 per share, compute their (e) price-earnings ratios and ( dividend yields. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 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 Ratio 2A Tot Asset 2A Ret on Tot Turn Assets 2A Ret On Com Stock 2A Price Earn Ratio 2A Div Yield Reg 28 Identify which company's stock you would recommend as the better investment. The better investment 2A Div Yield Regan
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