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प्रश्न
Assuming that the Debt-Equity ratio is 2. State giving reasons whether this ratio would increase, decrease or remain unchanged in the following cases (Any Four)
(a) Purchase of fixed assets on a credit of 2 months
(b) Purchase of fixed assets on a long term deferred payment basis.
(c) Issue of New shares for cash
(d) Issued of Bonus shares
(e) Sale of fixed asset at a loss of Rs 3,000
उत्तर
|
Cases |
Effect |
Reason |
|
Purchase of Fixed Assets on Credit of 2 months |
No Change |
Purchase of Fixed Assets neither affects the equity nor affects the debts. Thus, debt equity ratio will remain the same. |
|
Purchase of Fixed Assets on long term deferred payment basis |
Increase |
Purchase of Fixed Assets on long term deferred payment basis results in an increase in the debts. Therefore, debt equity ratio will increase. |
|
Issue of New Shares for cash
|
Decrease |
Issue of New Shares for cash results in an increase in the shareholders’ funds. So, debt equity ratio as a result of this will decrease. |
|
Issue of Bonus shares
|
No change |
Issue of Bonus shares neither affects the shareholders’ funds nor affects the debts. Thus, debt equity ratio will remain the same. |
|
Sale of Fixed Assets at a loss of Rs 3,000 |
Increase |
Sale of Fixed Assets at a loss results in decrease in shareholders’ funds by the amount of loss. While on the other hand, it does not affect the debts. Therefore, debt equity ratio will increase. |
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संबंधित प्रश्न
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2) By issuing 200, 9% debentures of Rs 100 each at a discount of 10%.
3) Balance by accepting a bill of exchange of Rs 50,000 payable after one month.
Pass necessary journal entries in the books of Disha Ltd. for the purchase of machinery and making payment to Nisha Ltd.
Pass necessary journal entries in the given case
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Pass necessary journal entries in the Given cases :
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Pass necessary journal entries for the following transactions in the books of Gopal Ltd:
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Showing your working notes clearly, pass necessary Journal Entry for the treatment of goodwill in the books of the firm on Sohan's retirement.
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From the following information, calculate any two of the following ratios:
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(b) Working Capital Turnover Ration and
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Based on the below information, you are required to answer the following question:
|
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Based on the below information you are required to answer the following question:
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What is the amount to be received on the Allotment of shares?
Based on the below information you are required to answer the following question:
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