The most recent data from the annual balance sheets of Pellegrini Southern Inc. and Scramouche Opera Company are as follows: Balance Sheet December 31 (MIlllons of dollars) Scramouche Opera Pellegrinl Scramouche Opera Pellegrini Company Southern Inc. Company Southern Inc. Assets Liabilities Current assets Current liabilities Cash $574 $369 Accounts payable $0 $0 210 Accounts 135 Accruals 127 receivable Inventories 616 Notes payable 396 717 675 Total current 1,400 900 Total current 844 675 assets liabilities Net fixed assets Long-term bonds 1,031 825 Net plant and 1,100 1,100 Total debt 1,875 1,500 equipment Common equity Common stock 325 406 r Retained 175 219 earnings 500 Total common 625 equity 2 000. Total assets 2 500 2 000 Total liabilities 2.500 Accounts payable $574 $0 $369 Cash $0 135 Accruals 127 210 Accounts receivable Notes payable 396 717 616 Inventories 675 900 Total current 1,400 Total current 844 675 liabilities assets Long-term bonds Net fixed assets 1,031 825 1,100 1,100 Total debt Net plant and 1,875 1,500 equipment Common equity Common stock 406 325 Retained 219 175 earnings Total common 625 500 equity Total assets 2,500 2,000 Total liabilities 2,500 2,000 and equity Pellegrini Southern Inc.'s current ratio is and its quick ratio is ; Scramouche Opera Company's current ratio is and its quick ratio Note: Round your values to four decimal places. Which of the following statements are true? Check all that apply. earnings Total common 625 500 equity 2,000 Total liabilities 2,500 2,000 2,500 Total assets and equity Scramouche Opera Company's current ratio is Pellegrini Southern Inc.'s current ratio is , and its quick ratio Note: Round your values to four decimal places. and its quick ratio is Which of the following statements are true? Check all that apply. Scramouche Opera Company has a better ability to meet its short-term liabilities than Pellegrini Southern 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. Compared to Pellegrini Southern Inc., Scramouche Opera Company has less liquidity and a lower reliance on outside cash flow to finance its short-term obligations. An increase in the current ratio over time always means that the company's liquidity position is improving