The following is selected simplified information from Organic Catering’s balance sheet as at December 31, 2023 and December 31, 2024. You, business analyst at Organic Catering, have been asked to calculate the current ratio and the quick ratio (round to two decimal places). Provide your manager with comments on the ratios and the change from 2023 to 2024.

Transcribed Image Text:

(Numbers in thousands) Cash Accounts receivable Notes receivable (current) Inventories Prepaid expenses and other (current) assets Current liabilities Total liabilities Shareholders' equity 2024 2023 $6,501 $3,880 4,368 4,616 220 123 190 265 137 695 11,061 10,649 31,376 31,980 45,964 56,700