GameStop Corporation (GME) has over 7,000 retail stores worldwide and sells new and used video games. The following asset and liability data (in millions) were adapted from recent financial statements.

1. Compute quick assets for Years 2 and 1.

2. Compute the quick ratio for Years 2 and 1. Round to two decimal places.

3. Analyze and assess any changes in liquidity for Years 2 and 1.

4. Comment on any competitive pressures that you think GameStop may be experiencing.

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Year 2 Year 1 Current assets: Cash $ 864 $ 669 Accounts receivable 183 221 Inventory Prepaid and other current assets Total current assets 1,367 1,122 125 129 $2,539 $1,916 $2,141 $1,762 Total current liabilities