The purpose of liquidity analysis is to estimate if: a. the supply of labor will be sufficient to carry out the plan b. the supply of irrigation water will be sufficient c. cash inflows will be sufficient to meet expected cash outflows d. net farm income will be positive or negative 14. Of the following, which is the most liquid asset? a. farm machinery b. balance in checking account c. breeding livestock d. feeder livestock 15. The current ratio is a measure of a firm's: a. return on equity b. ability to pay short-term credit obligations c. return on investment in current assets d. level of total debt to total assets at the present time