note - B required

elected comparative financial statement data for Vermillion Inc. are shown below.

VERMILLION INC. Statement of Financial Position (partial) December 31 (in thousands)
			2021			2020			2019
Current assets
	Cash		$	30		$	91		$	60
	Trading investments			55			60			40
	Accounts receivable, net			670			580			497
	Inventory			622			527			578
	Prepaid expenses			41			51			29
Total current assets			$	1,418		$	1,309		$	1,204
Total current liabilities			$	876		$	821		$	757

Additional information:

(in thousands)		2021			2020			2019
Allowance for doubtful accounts		$	50		$	45		$	40
Credit sales			4,212			3,967			3,704
Cost of goods sold			2,911			2,642			2,330

(a)

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Calculate all possible liquidity ratios for 2021 and 2020. (Round current ratio to 2 decimal places e.g. 2.66. Round receivables turnover and inventory turnover to 1 decimal place e.g. 6.2. Round collection period and days sales in inventory to 0 decimal places e.g. 1,266. Enter working capital amounts in thousands e.g. 525.)

		2021			2020
Working capital		$enter working capital in thousands of dollars			$enter working capital in thousands of dollars
Current ratio		enter current ratio rounded to 2 decimal places	:1		enter current ratio rounded to 2 decimal places	:1
Receivables turnover		enter receivables turnover in times rounded to 1 decimal place	times		enter receivables turnover in times rounded to 1 decimal place	times
Collection period		enter collection period in days rounded to 0 decimal places	days		enter collection period in days rounded to 0 decimal places	days
Inventory turnover		enter inventory turnover in times rounded to 1 decimal place	times		enter inventory turnover in times rounded to 1 decimal place	times
Days sales in inventory		enter days sales in inventory rounded to 0 decimal places	days		enter days sales in inventory rounded to 0 decimal places	days

Attempts: 1 of 1 used

(b)

Indicate whether each of the liquidity ratios calculated above is better or worse in 2021.

Working capital		select an option WorseBetter
Current ratio		select an option WorseBetter
Receivables turnover		select an option BetterWorse
Collection period		select an option WorseBetter
Inventory turnover		select an option BetterWorse
Days sales in inventory		select an option WorseBetter