The Gap Inc. (GPS) operates specialty retail stores under such brand names as GAP, Old Navy, and Banana Republic. 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.

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Year 2 Year 1 Current assets: Cash Accounts receivable Inventory Prepaid and other current assets Total current assets $1,515 275 1,889 638 $4,317 $2,234 $1,510 462 1,928 530 $4,430 $2,342 Total current liabilities