Current Position Analysis

The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years:

Current Position Analysis The following data were taken from the balance sheet of Nilo Company at the end of two recent fiscal years: Current Year Previous Year Current assets: Cash Marketable securities Accounts and notes receivable (net) $635,400 735,700 300,900 652,100 335,900 $2,660,000 $501,600 564,300 188,100 442,900 Inventories Prepaid expenses 283,100 Total current assets $1,980,000 Current liabilities: Accounts and notes payable (short-term) $440,800 319,200 $760,00 $462,000 198,000 Accrued liabilities Total current liabilities $660,000 a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place. Current Year Previous Ye 1. Working capital 2. Current ratio 3. Quick ratio b. The liquidity of Nilo has from the preceding year to the current year. The working capital, current ratio, and quick ratio have all Most of these changes are the result of an in current assets relative to current liabilities