Current Position Analysis

PepsiCo, Inc., the parent company of Frito-Lay snack foods and Pepsi beverages, had the following current assets and current liabilities at the end of two recent years:

	Current Year (in millions)		Previous Year (in millions)
Cash and cash equivalents	$2,396		$2,539
Short-term investments, at cost	1,702		4,715
Accounts and notes receivable, net	5,408		4,836
Inventories	2,037		1,358
Prepaid expenses and other current assets	679		502
Short-term obligations	272		2,883
Accounts payable	6,518		6,417

a. Determine the (1) current ratio and (2) quick ratio for both years. Round answers to one decimal place.

	Current Year	Previous Year
1. Current ratio	fill in the blank 1	fill in the blank 2
2. Quick ratio	fill in the blank 3	fill in the blank 4