2. Liquidity ratios Aa Aa A liquid asset can be converted to cash quickly without significantly impacting the asset's value. Which of the following asset classes is generally considered to be the most liquid? O Cash O Inventories O Accounts receivable The most recent data from the annual balance sheets of Pellegrini Southern Inc. and LeBron Sports Equipment Inc. are as follows: Balance Sheet December 31st (Millions of dollars) LeBron Pellegrini LeBron Pellegrini Sports Equipment Southern Sports Southern Inc. Equipment Inc. Inc. Inc. Assets Liabilities Current liabilities Current assets Accounts payable Cash $1,435 $922 $0 $0 Accounts receivable 525 338 Accruals 316 0 Notes payable Inventories 1,540 990 1,793 1,687 Total current assets 3,500 2.250 Total current liabilities 2,109 1,687 Net fixed assets Long-term bonds 2,578 2,063 Net plant and equipment 2,750 2,750 Total debt 4,687 3,750 Common equity Common stock 813 1,016 Retained earnings 547 437 Total common equity 1,250 1,563 Total liabilities and equity Total assets 6,250 5,000 6,250 5,000 Pellegrini Southern Inc.'s quick ratio is and its current ratio is ; LeBron Sports Equipment Inc.'s quick ratio is and its current ratio is