QUESTION 3 Selected data from Britt Company's financial statements are provided below. Cash 2014 $24 000 43 000 27 000 2013 $17 000 13 000 73 000 2012 $8 000 55 700 40 000 Accounts receivable Inventory Prepaid expenses Total current assets 15 000 21 000 115 000 20 500 124 200 118 000 Total current liabilities $75 000 322 000 Net credit sales Cost of goods sold Net cash flows from operating activities $62 000 231 000 165 000 17 000 297 000 28 000 Which of the following statements is true regarding the company's liquidity? The quick ratio decreased from 2013 to 2014 Based on the quick ratio, the company appears to be in a better position to pay its current obligations at the end of 2014 compared to 2013 O Based on the current ratio and operating cash flow ratio, the company appears to be in a worse position to pay its current obligations at the end of 2014 compared to 2013 The operating cash flow ratio increased from 2013 to 2014