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Current Position Analysis Sherwood, Inc., the parent company of Tasty snack foods and Super beverages, had the following current assets and current liabilities at the

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Current Position Analysis Sherwood, Inc., the parent company of Tasty snack foods and Super beverages, had the following current assets and current liabilities at the end of two recent years: Current Year Previous Year (in millions) (in millions) $3,184 $3,232 Cash and cash equivalents Short-term investments, at cost 2,262 6,003 7,190 6,157 Accounts and notes receivable, net Inventories Prepaid expenses and other current assets Short-term obligations Accounts payable 2,106 702 2,107 779 281 2,982 6,739 6,638 a. Determine the (1) current ratio and (2) quick ratio for both years. Round to one decimal place. Current Year Previous Year 1. Current ratio 2. Quick ratio b. The liquidity of Sherwood has some over this time period. Both the current and quick ratios have . Sherwood is a company with resources for meeting short-term obligations. Its liquidity as measured by the current and quick ratios has during this period

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