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 $$501,600$ $$403,200$

Marketable securities $580,800453,600$

Accounts and notes receivable $($net$)237,600151,200$

Inventories $471,900292,800$

Prepaid expenses $243,100187,200$

Total current assets $$2,035,000$ $$1,488,000$

Current liabilities:

Accounts and notes payable $($short$-$term$)$ $$319,000$ $$336,000$

Accrued liabilities $231,000144,000$

Total current liabilities $$550,000$ $$480,000$

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 Year

$1.$ Working capital $fill in the blank $1$

$fill in the blank $2$

$2.$ Current ratio fill in the blank $3$

fill in the blank $4$

$3.$ Quick ratio fill in the blank $5$

fill in the blank $6$

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.