Question: Kwik Express specializes in the transportation of medical equipment and laboratory specimens overnight. The company has selected the following information from its most recent annual report to be the subject of an immediate press release.
1) The financial statements are being released. (I know this would be classified as good news.)
2) Net income this year was $2.2 million. Last year's net income had been $1.8 million. (I also believe this should be classified as good news.)
3) The current ratio has changed to 2:1 from last year's 1.5:1.( I'm unsure about this one.)
4) The debt/total assets ratio has changed to 4:5 from last year's 3:5.( I'm unsure about this one.)
5) The company expanded its truck fleet substantially by purchasing ten new delivery vans.( I believe this would also be good news for the company.)
6) The company already had twelve delivery vans. The company is now the largest medical courier in the mid-Atlantic region. (I believe this is good news also.)