In terms of liquidity, figures will be used from the balance sheet. In terms of Tesco, it can be seen that the retailer has looked to improve their financial position as slower growth from 2011 (in terms of revenue). Tesco did see a marked increase in debt in the earlier years due to expansion and higher expectations of higher growth. While there has been some improvement, the Current Ratio could still be viewed by some as too low; however the desired ratio may be different depending on the industry (Brigham, 2011). The ratio showcases the company’s ability to pay short-term obligations with current assets, and so a value above one would beneficial. A value under one suggests that the company would be unable to meet all short-term obligations with current assets if they all came due (Brigham, 2013). The quick ratio measures the amount of liquid assets that are available for each £GBP of current liabilities, and so again a value over one would be beneficial to the company.