Calculate the quick ratio for Los Altos, Inc., for both years, using the financial statements displayed below. Round to nearest hundredth.

	2020	2019
Quick Ratio	Answer	Answer

Did the companys ability to pay its current liabilities improve over the two years? AnswerYesNo

Los Altos, Inc.
Income Statement
For Years Ended December 31, 2020 and 2019
(in millions)	2020	2019
Net sales	$12,000	$11,400
Cost of goods sold	6,050	5,720
Gross profit	5,950	5,680
Selling and administrative expenses	3,080	2,970
Income from operations	2,870	2,710
Interest expense	330	275
Income before income taxes	2,540	2,435
Income tax expense	462	440
Net income	$2,078	$1,995

Los Altos, Inc.
Balance Sheet
December 31, 2020 and 2019
(in millions)	2020	2019
Assets
Current assets
Cash and cash equivalents	$220	$440
Accounts receivable	990	880
Inventory	550	715
Other current assets	440	275
Total current assets	2,200	2,310
Property, plant, & equipment (net)	2,860	2,750
Other assets	6,270	6,490
Total assets	$11,330	$11,550
Liabilities and Stockholders' Equity
Current liabilities	$4,200	$4,060
Long-term liabilities	7,000	7,560
Total liabilities	11,200	11,620
Stockholders' equity - common	130	(70)
Total Liabilities and Stockholders' Equity	$11,330	$11,550