Pasky Company Has the Following Financial Data on January 1

Multiple Choice

Pasky Company has the following financial data on January 1, 2017 and January 1, 2016.
$$\begin{array} { l r r r } & 1 / 1 / 17 & 1 / 1 / 16 \\\hline \text { Cash } & \$ 35,000 & \$ 71,000 \\\text { Accounts receivable } & 69,000 & 33,000 \\\text { Marketable securities } & 9 , 0 0 0 & 3 0 , 0 0 0 \\\text { Inventary } & 8 7 , 0 0 0 & 105,000 \\\text { Net plant and equipment } & 120,000 & 9 6 , 0 0 0 \\& & \\\text { Current liabilities } & \$ 42,000 & \$ 71,000 \\\text { Lang-term debt } & 147,000 &9 0 , 0 0 0 \\\text { Sharehalders' equity } & 131,000 & 174,000\end{array}$$
In terms of the quick and current ratio, which of the following statements is true?

A) Pasky's short-term solvency position has improved.
B) Pasky's short-term solvency position has declined.
C) Pasky's short-term solvency position has remained the same
D) Pasky's quick ratio is increasing, but its current ratio is decreasing.