Question: 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

 Required information Problem 13-5A Comparative ratio analysis LO P3 The following
information applies to the questions displayed below) Summary information from the financial

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 Kyan Barco Kyan Company Company Company Data from the current year and balance sheets Data from the current year's income statement Sales $780,000 $895,200 $ 22,500 $ 30,000 Cost of goods sold 587,100 636.500 Accounts receivable. net 38,400 S8,400 Interest expense 9,000 16,000 Merchandise inventory 14,340 138,500 Income taxe 14,992 24.714 Prepaid expenses 5,200 7.100 Net Income 168,90 017,956 Plantas, net 350,000 305,490 Basic earnings per share 5501,900 $542,400 Cash dividends per share 3.79 4.01 Libilities and Equity Current liabilities Long term bates payable Costock, 55 par value notalnet carmings Total llities and wity Beginning-of-year balance sheet data $ 65,340 $ 19,300 Accounts receivable, net 30, 105,000 Merchandise inventory 180, 206.000 Total assets 125,00 145, 100 Cenon stock, 5 par value $501,9405547,400 tained earning $ 29,00 $ 55,200 65,600 115,400 458. 2. 130,000 206,000 143.332 03.12 Problem 13.5A Part 2 Problem 13-5A Part 2 2n. For both companies compute the profit margin ratio, (b) total asset turnover (return on total assets, and () return on common stockholders' equity Assuming that each company's stock can be purchased at $80 per share, compute their (e) price earnings ratios and 11 dividend yields. (Do not round intermediate calculations. Round your answers to 2 decimal places.) 26. Identify which company's stock you would recommend as the better investment Complete this question by entering your answers in the tabs below. 2A Price Earn Ratio 2A Diy Yield Reg 26 2A Prof Mar 2A Tot Asset 2A Reton Tot 2A Ret On Ratio Turn Assets Com Stock For both companies compute the profit margin ratio Profit Margin Ratio Company Choose Numerator Choose Denominator: - Profit margin ratio Profit margin to Barco Myan 2A Tot Asset Turn >

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