Use the Allstott, Inc., balance sheet data below.

1. Compute Allstott, Inc.'s quick (acid-test) ratio at December 31, 2017 and 2016.

2. Use the comparative information from the table on page 597 for Baker, Inc., Calvin Company, and Dunn Companies Limited. Is Allstott's quick (acid-test) ratio for 2017 and 2016 strong, average, or weak in comparison?

Company Quick (Acid-Test) Ratio
Baker, Inc. (Utility)............................................................................. 0.71
Calvin Company (Department store)................................................. 1.01
Dunn Companies Limited (Grocery store)......................................... 1.05

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Allstott, Inc. Balance Sheets (Adapted) As at December 31, 2017 and 2016 Increase (Decrease) 2016Amount Percentage 3 (dollar amounts in millions) 4 Assets 2017 Current assets: Cash and cash equivalents Short-term investments Receivables, net Inventories $1,200$900 300 33.3% 70 250 81 (64) (91.4) (4.0) 18.5 363 (120(33.1) 240 (10) 10 id expenses and other assets 243 Total current assets 121 235 133 106 $7,2356,64O 595 1,664 3,63,376 878 722 1,785 12 lant, ande t, net Intangible assets Other assets 1,011 828 15.1 14.7 Total assets 9.0% 15 16 Liabilities and Shareholders' Equit 17 18 19 Current liabilities Accounts payable Income tax Short-term debt Other $1,000900 100 (22) 36.1) 6.3 able 61 118 70 1,227 73 1,145 2,944 1,036 5,125 21 Total current liabilities debt 82 556 81 719 7.2 18.9 7.8 14.0 23 3,5002, Long-term Other liabilities 1,117 5,844 25 Total liabilities 26 27 28 29 30 31 Shareholders' equity Common shares Retained earnin Accumulated other com 1,5431,689(146) (8.6) 12.5 Total shareholders Total liabilities and shareholders'e (loss) (54(176) 1,515 1,391 (124) (8.2) 9.0% 7,2356,640 595