Please fill in the answers in the pictures.
(a) | Current Ratio | |||||
Company | Choose Numerator | / | Choose Denominator | = | Current Ratio | |
Current assets [Refer working note 1] |
/ | Current liabilities | = | Current Ratio | ||
Barco | $155,440 | / | $61,340 | = | 2.5 | to 1 |
Kyan | $238,050 | $93,300 | = | 2.6 | to 1 |
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(b) | Acid Test Ratio | |||||||||
Company | Choose Numerator | / | Choose Denominator | = | Acid Test Ratio | |||||
Cash | + | Short-term Investments | + |
Current receivables [Refer working note 2] |
/ | Current Liabilities | = | Acid Test Ratio | ||
Barco | $19,500 | / | + | $46,500 | / | $61,340 | = | 1.1 | to 1 | |
Kyan | $34,000 | / | + | $64,600 | / | $93,300 | = | 1.1 | to 1 |
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(c) | Accounts Receivable Turnover | |||||
Company | Choose Numerator | / | Choose Denominator | = | Accounts Receivable Turnover | |
Net Sales | / |
Average accounts receivables, net [Refer working note 3] |
= | Accounts Receivable Turnover | ||
Barco | $770,000 | / | $38,150 | = | 20.2 | times |
Kyan | $880,200 | / | $59,400 | = | 14.8 | times |
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(d) | Inventory Turnover | |||||
Company | Choose Numerator | / | Choose Denominator | = | Inventory Turnover | |
Cost of Goods Sold | / |
Average Inventory [Refer working note 4] |
= | Inventory Turnover | ||
Barco | $585,100 | / | $70,020 | = | 8.4 | times |
Kyan | $632,500 | / | $119,950 | = | 5.3 | times |
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(e) | Days' Sales in inventory | |||||||
Company | Choose Numerator | / | Choose Denominator | x | Days | = | Days' Sales in inventory | |
Merchandise inventory | / | Cost of Goods Sold | x | 365 | = | Days' Sales in inventory | ||
Barco | $84,440 | / | $585,100 | x | 365 | = | 52.7 | days |
Kyan | $132,500 | / | $632,500 | x | 365 | = | 76.5 | days |
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(f) | Days' Sales Uncollected | |||||||
Company | Choose Numerator | / | Choose Denominator | x | Days | = | Days' Sales Uncollected | |
Current receivables, net [Refer working note 2] |
/ | Net Sales | x | 365 | = | Days' Sales Uncollected | ||
Barco | $46,500 | / | $770,000 | x | 365 | = | 22.0 | days |
Kyan | $64,600 | / | $880,200 | x | 365 | = | 26.8 | days |
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Working Note 1 - Calculation of Current assets: | ||
Barco | Kyan | |
Current Assets: | ||
Cash | $19,500.00 | $34,000.00 |
Accounts receivables, net | $37,400.00 | $57,400.00 |
Current notes receivables (trade) | $9,100.00 | $7,200.00 |
Merchandise inventory | $84,440.00 | $132,500.00 |
Prepaid expenses | $5,000.00 | $6,950.00 |
Total current assets | $155,440.00 | $238,050.00 |
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Working note 2- Computation of current accounts receivables: | ||
Barco Company | Kyan Company | |
Accounts receivables, net | $37,400 | $57,400 |
Current notes receivables, net | $9,100 | $7,200 |
Total Current receivables, net | $46,500 | $64,600 |
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Working note 3 - Computation of average accounts receivables | ||
Barco | Kyan | |
Balance at the beginning of the year: | ||
Accounts receivables, Net | $29,800 | $54,200 |
Current notes receivables, net | $0 | $0 |
Total (a) | $29,800 | $54,200 |
Balance at the end of the year: | ||
Accounts receivables, Net | $37,400 | $57,400 |
Current notes receivables, net | $9,100 | $7,200 |
Total (b) | $46,500 | $64,600 |
Average accounts receivable (a + b)/2 | $38,150 | $59,400 |
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Working note 4 - Computation of average inventory | ||
Barco | Kyan | |
Inventory balance at the beginning of the year (a) | 55600 | $107,400 |
Inventory balance at the end of the year (b) | $84,440 | $132,500 |
Average inventory (a + b)/2 | $70,020 | $119,950 |
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Please fill in the answers in the pictures. Problem 13-5A Comparative ratio analysis LO A1, P3...
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 year’s income statement Assets Sales $ 770,000 $ 880,200 Cash $ 19,500 $ 34,000 Cost of goods sold 585,100 632,500 Accounts receivable, net 46,500 64,600 Interest expense 7,900 13,000 Merchandise inventory 84,440 132,500 Income tax expense 14,800 24,300 Prepaid expenses 5,000 6,950 Net income 162,200...
Fourth Attempt - Please show step-by-step calculations and what line items are used for the following ratio calculation so it is easy to understand what numbers have been used: Note:Accounts Receivable Numbers used in 2nd and 3rd attempt that don't work are: Barco $37,400 and Kyan $57,400; 3rd attempt - $33600 - Barco and Kyan - $55,800. I have the remaining numbers that are correct. Summary information from the financial statements of two companies competing in the same industry follows....
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 year’s income statement Assets Sales $ 770,000 $ 880,200 Cash $ 19,500 $ 34,000 Cost of goods sold 585,100 632,500 Accounts receivable, net 46,500 64,600 Interest expense 7,900 13,000 Merchandise inventory 84,440 132,500 Income tax expense...
I need help calculating return on common stock. Please show all calculations and titles of where the numbers came from so it is easy to follow the work. Giving just the titles is not helpful so this is why it is essential to show your work as I am a visual/tactile learner. Thank you. 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...
[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 year’s income
statement
Assets
Sales
$
770,000
$
880,200
Cash
$
19,500
$
34,000
Cost of goods sold
585,100
632,500
Accounts receivable, net
46,500
64,600
Interest expense
7,900
13,000
Merchandise inventory
84,440
132,500
Income tax expense...
Required information [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 Company Data from the current year-end balance sheets Data from the current year's income statement Assets Sales $770,000 $880,200 Cash $ 19,500 $ 34,000 Cost of goods sold 585,100 632,500 Accounts receivable, net 46,500 64,600 Interest expense 7.900 13,000 Merchandise Inventory 84,440 132.500 Income tax expense 14,800...
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 year’s income
statement
Assets
Sales
$
770,000
$
880,200
Cash
$
19,500
$
34,000
Cost of goods sold
585,100
632,500
Accounts receivable, net
46,500
64,600
Interest expense
7,900
13,000
Merchandise inventory
84,440
132,500
Income tax expense
14,800
24,300
Prepaid expenses
5,000
6,950
Net income
162,200...
O Required information [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 Company Data from the current year-end balance sheets Data from the current year's income statement Assets Sales $770,000 $880, 200 Cash $ 19,500 $ 34,000 Coat 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...
Summary Information from the financial statements of two companies competing in the same industry follows. Sales 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 years income statement $ 770,000 $880,200 Cost of goods sold 585,100...
Required information Problem 13-5A 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 Barco Kyan Company Company Company Company Data from the current year-end balance sheets Data from the current year's income statement Assets Sales $810,000 $891,200 Cash $ 18,500 $ 34,000 Cost of goods sold 587,100 638,500 Accounts receivable, net 38, 400 58, 400 Interest expense...