Quick Ratio

The current assets and current liabilities for Violet Inc. and Magenta, Inc., are as follows at the end of a recent fiscal period:

				Violet Inc. (in millions)		Magenta, Inc. (in millions)
Current assets:
	Cash and cash equivalents			$4,462		$12,676
	Short-term investments			2,881		0
	Accounts receivable			1,952		9,180
	Inventories			186		874
	Other current assets*			1,022		3,716
		Total current assets		$10,503		$26,446
Current liabilities:
	Accounts payable			$3,789		$8,059
	Accrued and other current liabilities			3,361		5,601
		Total current liabilities		$7,150		$13,660

*These represent prepaid expense and other nonquick current assets.

a. Determine the quick ratio for both companies. If required, round your answers to one decimal place.

	Quick Ratio
Violet Inc.:	fill in the blank 1
Magenta, Inc.:	fill in the blank 2

b. Which company has a stronger relative cash and short-term investment position?

Violet Inc.Magenta, Inc.