ABC corporation has Total Current Assets of$$ $$100$ M$.$ Of$$ these, $$15$ M are in$$ cash, $$50$ M are in accounts$$ receivable, and$$ $$35$ M are in inventory. In$$ addition, the company has total current liabilities of$$ $$50$M$.$ Based on this$$ information, answer the following$$ questions:

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Part $1$

What is the$$ company's quick$$ ratio?

A$.$

$0\mathrm{.}3$

B$.$

$1\mathrm{.}3$

C$.$

$1$

D$.$

$0\mathrm{.}7$

The liquidity ratios$($listed on your formula$$ sheet$)$ measure the ability of a company to meet its$$ short$-$term obligations. Of the three ratios provided which one would you argue is the most strict$($most narrow$)$ definition of$$ liquidity?

A$.$

quick ratio

B$.$

current ratio

C$.$

cash ratio