The following data were taken from the comparative balance sheet of Osborn Sisters Company for the years ended December 31, 20Y9 and December 31, 20Y8:

				Dec. 31, 20Y9			Dec. 31, 20Y8
Cash				$ 150,000			$ 100,000
Temporary investments				250,000			150,000
Accounts and notes receivable (net)				500,000			400,000
Inventories				850,000			610,000
Prepaid expenses				50,000			40,000
	Total current assets			$1,800,000			$1,300,000
Accounts payable				$ 700,000			$ 460,000
Accrued liabilities				50,000			40,000
	Total current liabilities			$ 750,000			$ 500,000

a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to one decimal place.

	20Y9		20Y8
Working capital		$		$
Current ratio
Quick ratio

b. The liquidity of Osborn Sisters Company has _____ from 20Y8 to the 20Y9. The working capital, current ratio, and quick ratio have all _____ . Most of these changes are the result of ______ .