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(a) Calculate the current ratio and quick ratio for a company given the following information: Current Assets: $120,000 Current Liabilities: $80,000 Inventory: $40,000 (b) Interpret

(a) Calculate the current ratio and quick ratio for a company given the following information:

Current Assets: $120,000
Current Liabilities: $80,000
Inventory: $40,000

(b) Interpret the results of the current ratio and quick ratio calculations in terms of the company's short-term liquidity.

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