1. In the last five years, the Dragon Company has increased its current ratio. At the same time, the quick ratio has fallen. Explain what could have happened. b. Has the liquidity of the company improved? 6 In response to complaints about high prices, a grocery chain runs the following advertising campaign: "If you pay your child $0.25 to go buy $10 worth of groceries, then your child makes twice as much on the trip as we do. The grocery chain has the following financial statement: Sales..........$114 million Net Income..... 1.42 million Total Assets...8 million Total Debt.....3 million Please evaluate the claim by calculating the profit margin for the grocery chain