A liquid asset can be converted quickly to cash with little sacrifice in its value. Which of the following asset classes is generally considered to be the least liquid? Accounts receivable O Inventories O Cash LeBron Sports Equipment Corporation Free Spirit Industries Corporation Balance Sheet December 31" (Millions of dollars) Free Spirit LeBron Sports Industries Equipment Corporation Corporation Liabilities Current Habilities $1,107 Accounts Assets Current assets Cash $1,722 $0 $0 payable 630 405 Accruals 380 0 Accounts receivable Inventories 1,848 Notes payable 1,188 $2,700 2,151 $2,531 2,025 $2,025 Total current $4,200 Total current llabilities Long-term 3,094 2,475 assets Net fixed assets Net plant and equipment bonds 3,300 3,300 Total debt $5,625 $4,500 Common equity $1,219 $975 Common stock 656 525 Retained c rg% Total common $1,875 $1,500 Total assets $7,500 $6,000 equity Total abilities and equity $7,500 $6,000 and its current ratio is ; LeBron Sports Equipment Corporation's quick Free Spirit Industries Corporation's quick ratio is ratio is and its current ratio is Which of the following statements are true? Check all that apply. LeBron Sports Equipment Corporation has a better ability to meet its short-term liabilities than Free Spirit Industries Corporation If a company's current liabilities are increasing faster than its current assets, the company's liquidity position is weakening If a company has a quick ratio of less than 1 but a current ratio of more than 1 and if the difference between the two ratios is large, then the company depends heavily on the sale of its inventory to meet its short-term obligations. Compared to Free Spirit Industries Corporation, LeBron Sports Equipment Corporation has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations An increase in the current ratio over time always means that the company's liquidity position is improving