EX 15-6 Current position analysis

The following data were taken from the balance sheet of Mossberg Company:

	Dec. 31, 2014	Dec. 31, 2013
Cash	$700,000	$600,000
Marketable securities	800,000	620,000
Accounts and notes receivable (net)	920,000	780,000
Inventories	600,000	500,000
Prepaid expenses	500,000	500,000
Total current assets	3,520,000	3,000,000
Accounts and notes payable (short-term)	800,000	750,000
Accrued liabilities	300,000	250,000
Total current liabilities	1,100,000	1,000,000

a. Determine for each year (1) the working capital, (2) the current ratio, and (3) the quick ratio. Round ratios to the one decimal place.

b. What conclusions can be drawn from these data as to the companys ability to meet its currently maturing debts?