eBook Current Position Analysis Sherwood, Inc., the parent company of Frito-Lay snack foods and Sherwood beverages, had the following current assets and current liabilities at the end of two recent years: Current Year Previous Year (in millions) (in millions) Cash and cash equivalents Short-term investments, at cost $2,449 $2,517 1,740 4,675 Accounts and notes receivable, net 5,531 4,796 Inventories 1,458 972 Prepaid expenses and other current assets 486 360 Short-term obligations 389 4,129 9,331 9,191 Accounts payable a. Determine the (1) current ratio and (2) quick ratio for both years. Round to one decimal place. Current Year 1. Current ratio 2. Quick ratio b. The liquidity of Sherwood has company with Previous Year during this period. some over this time period. Both the current and quick ratios have Sherwood is a resources for meeting short-term obligations. Its liquidity as measured by the current and quick ratios has Previous Next