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प्रश्न
The current ratio of Z. Ltd is 1: 1. A state with reason which of the following transaction would
1. increase;
2. decrease or
3. not change the ratio.
1. Included in the trade payables was a bill payable of Rs 3,000 which was met on maturity
2. Debentures of Rs 50,000 were converted into Equity Share
उत्तर
Quick ratio = `"Liquid Assets"/"Current Liabilities"`
1) A bill payable was met on maturity will affect:
Trade Payables will reduce by Rs 3,000.
Cash will reduce by Rs 3,000.
The simultaneous decrease in Both liquid assets and current liabilities by the same amount will leave the ratio unaffected.
2. Conversion of Debentures of Rs 50,000 into equity share will
A decrease in Debentures of Rs 50,000
Increase in Equity share i.e. Share Capital by Rs 50,000.
Debentures and share capital both does not form part of the liquid ratio. Therefore, will be no effect on the ratio.
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संबंधित प्रश्न
Long Answer Question
What are liquidity ratios? Discuss the importance of current and liquid ratio.
Handa Ltd.has inventory of Rs 20,000. Total liquid assets are Rs 1,00,000 and quick ratio is 2:1. Calculate current ratio.
A company had a liquid ratio of 1.5: 1 and a current ratio of 2: 1. Its inventory turnover ratio was 6 times. It had total current assets of 2,00,000.
Find out revenue from operations if the goods are sold at a 25% profit on cost.
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Current Ratio =`""/"Current Liabilities"`
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Give one word/term/phrase for the following statement.
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Give one word/term/phrase for the following statement.
The ratio that establishes relationship between Quick Assets and Current Liabilities
State true or false with reason.
Activity Ratios Turnover Ratios are the same.
State true or false with reason.
Current Ratio measures the liquidity of the business.
Answer in one sentence only.
Give the formula of gross profit?
Answer in one sentence only.
State the formula of Average Stock?
Current Liabilities = ₹ 3,00,000
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| Sales | ₹ 3,80,000 |
| Cost of good sold | ₹ 2,60,000 |
| Indirect Exp | ₹ 60,000 |
Calculate Operating Ratio
| Cost of good sold | ₹ 3,50,000 |
| Operating Exp. | ₹ 30,000 |
| Sales | ₹ 5,00,000 |
| Sales Return | ₹ 30,000 |
Calculate
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| 2) Current Liabilities | ₹ 1,00,000 |
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From the following Balance Sheet of Konal Traders prepare cash flow statement.
| Liabilities | 31.3.17 (₹) | 31.3.18 (₹) | Assets | 31.3.17 (₹) | 31.3.178 (₹) |
| Share Capital | 2,00,000 | 2,50,000 | Cash | 30,000 | 47,000 |
| Creditors | 70,000 | 45,000 | Debtors | 1,20,000 | 1,15,000 |
| Profit and Loss A/c | 10,000 | 23,000 | Stock | 80,000 | 90,000 |
| Land | 50,000 | 66,000 | |||
| 2,80,000 | 3,18,000 | 2,80,000 | 3,18,000 |
Accounting ratios are an important tool of ____________.
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What are the Limitations of Ratio Analysis?
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Cost of goods sold= ₹ 5,60,000, Operating expenses= ₹ 48,000,
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Calculate gross profit ratio. Sales = ₹ 5,00,000, Sales return = ₹ 50,000 and Cost of goods sold = ₹ 2,75,000.
