हिंदी

Current Ratio is 3.5:1. Working Capital is Rs 90,000. Calculate the amount of Current Assets and Current Liabilities. - Accountancy

Advertisements
Advertisements

प्रश्न

Current Ratio is 3.5 : 1. Working Capital is Rs 90,000. Calculate the amount of Current Assets and Current Liabilities.

संख्यात्मक

उत्तर

`"Current Ratio" = "Current Assets"/"Current Liablities"`

`3.5 = "Current assets"/"Current Liablities"`

or, Current Assets = 3.5 Current Liabilities   ...(1)

Working Capital = Current Assets ­− Current Liabilities

Working Capital = 90,000

or, Current Assets − Current Liabilities = 90,000

or, 3.5 Current Liabilities − Current Liabilities = 90,000 (from 1)

or, 2.5 Current Liabilities = 90,000

`"or.Current Liablities" = "90,000"/"2.5" = 36,000`

`"or.Current Assets" = 3.5 xx "Current Liablities"`

                                = `"3.5 "xx" 36,000"`

                                = `1,26,000`

shaalaa.com
Types of Ratios
  क्या इस प्रश्न या उत्तर में कोई त्रुटि है?
अध्याय 5: Accounting Ratios - Questions for Practice [पृष्ठ २२९]

APPEARS IN

एनसीईआरटी Accountancy - Company Accounts and Analysis of Financial Statements [English] Class 12
अध्याय 5 Accounting Ratios
Questions for Practice | Q 3 | पृष्ठ २२९

संबंधित प्रश्न

Short Answer Question

The liquidity of a business firm is measured by its ability to satisfy its long-term obligations as they become due. What are the ratios used for this purpose?


From the following infromation, calculate Proprietary Ratio:

 

Equity Share Capital 3,00,000
Preference Share Capital 1,50,000
Reserves and Surplus 75,000
Debentures 1,80,000

Trade Payables

45,000

 

7,50,000

Fixed Assets

3,75,000
Short-term Inverstments 2,25,000

Other Current Assets

1,50,000

 

7,50,000


Inventory Turnover Ratio 5 times; Cost of Revenue from Operations (Cost of Goods Sold) ₹ 18,90,000. Calculate Opening Inventory and Closing Inventory if Inventory at the end is 2.5 times more than that in the beginning.


₹ 1,75,000 is the Credit Revenue from Operations, i.e., Net Credit Sales of an enterprise. If Trade Receivables Turnover Ratio is 8 times, calculate Trade Receivables in the Beginning and at the end of the year. Trade Receivables at the end is ₹ 7,000 more than that in the beginning.


From the following information, calculate Working Capital Turnover Ratio:

 
Cost of Revenue from Operations (Cost of Goods Sold) 10,00,000
Current Assets 5,00,000
Current Liabilities 3,00,000

Operating Ratio 92%; Operating Expenses ₹94,000; Revenue from Operations ₹6,00,000; Sales Return ₹40,000. Calculate Cost of Revenue from Operations (Cost of Goods Sold).


From the following information, calculate Operating Ratio:

Cost of Revenue     Revenue from Operation:  
from Operations (Cost of Goods Sold) ₹52,000   Gross Sales ₹ 88,000
Operating Expenses ₹18,000   Sales Return ₹ 8,000

Revenue from Operations ₹ 4,00,000; Gross Profit Ratio 25%; Operating Ratio 90%. Non-operating Expenses ₹ 2,000; Non-operating Income ₹22,000. Calculate Net Profit Ratio.


Net Profit before Interest and Tax ₹6,00,000; Net Fixed Assets ₹20,00,000; Net Working Capital ₹10,00,000; Current Assets ₹11,00,000. Calculate Return on Investment.


Net Profit before Interest and Tax ₹4,00,000; 15% Long-term Debt ₹8,00,000; Shareholders' Funds ₹4,00,000. Calculate Return on Investment.


From the following calculate:

(a) Current Ratio; and 
(b) Working Capital Turnover Ratio.
   
(i) Revenue from Operations 1,50,000
(ii) Total Assets 1,00,000
(iii) Shareholders' Funds 60,000
(iv) Non-current Liabilities 20,000
(v) Non-current Assets 50,000

Higher the ratio, the more favourable it is, doesn't stand true for:


Current Ratio is ____________.


An annual Report is issued by a company to its ______?


The important activity ratios calculated under Activity (or Turnover) Ratios are ______?


Read the following information and answer the given question:

X Ltd. made a profit of 5,00,000 after consideration of the following items:

   
(i) Goodwill written off 5,000
(ii) Depreciation on Fixed Tangible Assets 50,000
(iii) Loss on Sale of Fixed Tangible
Assets (Machinery)
20,000
(iv) Provision for Doubtful Debts 10,000
(v) Gain on Sale of Fixed Tangible Assets (Land) 7,500

Additional information:

Particulars 31.3.2019
(₹)
31.3.2018
(₹)
Trade Receivables 78,800 52,000
Prepaid Expenses 3,000 2,000
Trade Payables 51,000 30,000
Expenses Payable 20,000 34,000

How will goodwill written off be adjusted in the cash flow statement?


Read the following information and answer the given question:

X Ltd. made a profit of 5,00,000 after consideration of the following items:

   
(i) Goodwill written off 5,000
(ii) Depreciation on Fixed Tangible Assets 50,000
(iii) Loss on Sale of Fixed Tangible
Assets (Machinery)
20,000
(iv) Provision for Doubtful Debts 10,000
(v) Gain on Sale of Fixed Tangible Assets (Land) 7,500

Additional information:

Particulars 31.3.2019
(₹)
31.3.2018
(₹)
Trade Receivables 78,800 52,000
Prepaid Expenses 3,000 2,000
Trade Payables 51,000 30,000
Expenses Payable 20,000  

What will be the amount of Trade payables added to get the Cash flow from operations?


Operating Profit ratio is equal to ______


What relationship will be established to study:

Trade Receivables Turnover


Determine Return on Investment and Net Assets Turnover ratio from the following information:

Profits after Tax were ₹ 6,00,000; Tax rate was 40%; 15% Debentures were of ₹20,00,000; 10% Bank Loan was ₹ 20,00,000; 12% Preference Share Capital ₹ 30,00,000; Equity Share Capital ₹ 40,00,000 ; Reserves and Surplus were ₹ 10,00,000; Sales ₹ 3,75,00,000 and Sales Return ₹ 15,00,000.


Share
Notifications

Englishहिंदीमराठी


      Forgot password?
Use app×