Warm Winters Linen, Inc. had current liabilities of $500,000; cash of $300,000; accounts receivable of $150,000; and ending inventory of $250,000. Compute the working capital ratio. (Round answer to two decimal places.)

Working Capital Ratio

A financial metric that measures a company's ability to pay off its short-term liabilities with its short-term assets, indicating liquidity.

Current Liabilities

Short-term financial obligations due within one year or within a company's operating cycle, whichever is longer.