Liquidity Ratios}

JRL's financial statements contain the following information:

Assume the accounts payable balance is all trade payables and opening and closing balances are the same.
\section*{Required:}
1. What is its current ratio?
2. What is its quick ratio?
3. What is its cash ratio?
4. What is the trade payable ratio?
5. Discuss JRL's liquidity using these ratios.
Brief Exercise

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Cash $400,000 Accounts payable $ 575,000 Accounts receivable 800,000 Accrued expenses 180,000 Inventory 950,000 Long-term debt 900,000 Marketable securities 115,000 Cost of goods sold 1,000,000