The most recent data from the annual balance sheets of Free Spirit Industries Inc. and LeBron Sports Equipment Inc. are as follows: Free Spirit Industries Inc. Assets Balance Sheet December 31" (Millions of dollars) LeBron Sports Free Spirit LeBron Sports Equipment Inc. Industries Inc. Equipment Inc. Liabilities Current liabilities $1,435 $922 Accounts $0 payable Current assets Cash $0 525 338 Accruals 316 0 Accounts receivable Inventories 1,540 990 Notes payable 1,793 1,687 Total current 3,500 2,250 2,109 1,687 Total current liabilities assets Net fixed assets 2,578 2,063 Long-term bonds Net plant and 2,750 2,750 Total debt 4,687 3,750 equipment Common equity 53:08 Common stock 813 1,016 547 Retained 437 1,563 1,250 earnings Total common equity Total liabilities and equity Total assets 6,250 5,000 6,250 5,000 and its current ratio is ; LeBron Sports Equipment Inc.'s quick ratio is Free Spirit Industries Inc.'s quick ratio is , and its current ratio is Which of the following statements are true? Check all that apply. Free Spirit Industries Inc. has less liquidity but also a greater reliance on outside cash flow to finance its short-term obligations than LeBron Sports Equipment Inc.. A current ratio of 1 indicates that the book value of the company's current assets is equal to the book value of its current liabilities. If a company has a quick ratio of less than 1 but a current ratio of more than 1 and if the difference between the two ratios is large, then the company depends heavily on the sale of its inventory to meet its short-term obligations. Free Spirit Industries Inc. has a better ability to meet its short-term liabilities than LeBron Sports Equipment Inc