Problem 17-5A Comparative ratio analysis LO A1, 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 Kyan Company Company Data from the current year-end balance sheets Assets Cash $ 19,500 $ 34,000 Accounts receivable, net 37,400 57,400 Current notes receivable (trade) 9,100 7,200 Merchandise inventory 84,440 132,500 Prepaid expenses 5,000 6,950 Plant assets, net 290,000 304,400 Total assets $445,440 $542,450 Barco Kyan Company Company Data from the current year's income statement Sales $ 770,000 $880,200 Cost of goods sold 585, 100 632,500 Interest expense 7,900 13,000 Income tax expense 14,800 24,300 Net income 162,200 210, 400 Basic earnings per share 4.51 5.11 Cash dividends per share 3.81 3.93 Liabilities and Equity Current liabilities Long-term notes payable Common stock, $5 par value Retained earnings Total liabilities and equity $ 61,340 $ 93,300 80,800 101,000 180,000 206,000 123,300 142, 150 $445, 440 $542,450 Beginning-of-year balance sheet data Accounts receivable, net Current notes receivable (trade) Merchandise inventory Total assets Common stock, $5 par value Retained earnings $ 29,800 $ 54,/200 0 55,600 107,400 398,000 382,500 180,000 206,000 98,300 93,600 Complete this question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset Ratio Turn 2A Ret on Tot Assets 2A Ret On A Price Earn 2a Div Yield Com Stock Ratio Req 2B For both companies compute the return on common stockholders' equity. Return On Common Stockholders' Equity Choose Denominator (d) Company Choose Numerator: Net income Preferred dividends Barco 162,200 - Kyan 210,400 Average common stockholders' equity Return On Common Stockholders' Equity Return on common stockholders' equity 0 0 Complete this question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset Ratio Turn 2A Ret on Tot Assets 2A Ret On 2A Price Earn Com Stock Ratio 2A Div Yield Req 2B Assuming that share and each company's stock can be purchased at $75 per share, compute their price-earnings ratios. (e) Company Choose Numerator: 1 Market price per common share Price-Earnings Ratio Choose Denominator: Earnings per share 4.51 5.11 = Price-Earnings Ratio Price-Earnings Ratio times = Barco Kyan times Complete this question by entering your answers in the tabs below. 2A Prof Mar 2A Tot Asset Ratio Turn 2A Ret on Tot Assets 2A Ret On 2A Price Earn 2A Div Yield Com Stock Ratio Req 2B Assuming that share and each company's stock can be purchased at $75 per share, compute their dividend yields. (f) Dividend Yield Company Choose Numerator: Choose Denominator: Annual cash dividends per share / Market price per share Barco 3.81 / Kyan 3.93 / Dividend Yield Dividend Yield 0 % 0 %