You have been provided with the following three years of information about the current assets and liabilities of Moyie Ltd.:

Required:
a. Calculate the current ratio and the amount of working capital at the end of each year.
b. Evaluate the liquidity position of Moyie. Interpret the trend over the three-year period.
c. Examine the information provided and explain why the current ratio changed over the period. In your response, consider the changes in the individualaccounts.

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Moyie Ltd Current Assets and Current Liabilities On December 31 2017 2016 2015 CURRENT ASSETS Cash Accounts receivable Inventories Prepaid expenses Total current assets $ 3,558 472,360 1,577,524 40,145 $2,093,587 S 21,286 415,258 1,352,698 50,573 $1,839,815 S 66,567 401,269 1,245,672 39,054 $1,752,562 CURRENT LIABILITIES Bank loans Accounts payable Long-term debt coming due Total current liabilities S 868,951 990,545 165,856 $2,025,352 S 630,215 845,698 121,151 S1,597,064 S 515,426 775,841 54,255 $1,345,522