Question 6 (11 marks) (Note this question is based on the Week 11 and Week 12 Tutorials) Safeway Inc. had the following comparative current assets and current liabilities, as shown below: 31 Dec 2019 31 Dec 2018 Current Assets Cash Marketable securities Accounts receivable Inventory Prepaid expenses Total Current Assets $ 65,000 30,000 42,000 120,000 35,000 $292,000 $ 25,000 15,000 80,000 90,000 20,000 $230,000 Current Liabilities Accounts payable Salaries payable Income tax payable Total Current liabilities $145,000 40,000 20,000 $205,000 $130,000 30,000 15,000 $175,000 Additional Information During 2019 net credit sales were $680,000 and the associated cost of goods sold was $365,000. Net cash provided by operating activities for 2019 was $142,000. 5 Question 6 (Cont'd) (11 marks) Required: Based on the comparative current assets and current liabilities of Safeway Inc., as shown above, compute the following ratios: 1. Current ratio for both 2018 and 2019. (2 marks) 2. Quick ratio for both 2018 and 2019. (3 marks) 3. Current cash debt coverage ratio for 2019. (2 marks) 4. Receivables turnover for 2019. (2 marks) 5. Inventory turnover for 2019. (2 marks)