Question -
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($ in millions)
|
Company A
|
Company B
|
|
Current Assets
|
|
|
|
Cash and Cash Equivalents
|
$911
|
$5,044
|
|
Short Term Investment
|
4,246
|
71
|
|
Net Receivables
|
768
|
1,460
|
|
Inventory
|
557
|
327
|
|
Other Current Assets
|
309
|
846
|
|
Total Current Assets
|
$6,791
|
$7,748
|
|
Current Liabilities
|
|
|
|
Accounts Payable
|
$3,103
|
$3,437
|
|
Short/Current Long Term Debt
|
1,194
|
1,672
|
|
Other current Liabilities
|
3,431
|
4,688
|
|
Total Current Liabilities
|
$7,728
|
$9,797
|
1) Calculate the current ratio for company A.
2) Calculate the current ratio for company B.
3) Calculate the acid-test (quick) ratio for Company A.
4) Calculate the acid-test (quick) ratio for Company B.