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Cost of revenue from operation ₹ 3,00,000; Inventory at the beginning of the year ₹ 60,000; Inventory at the close of the year ₹ 40,000. Inventory turnover ratio is. - Accountancy

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Cost of revenue from operation ₹ 3,00,000; Inventory at the beginning of the year ₹ 60,000; Inventory at the close of the year ₹ 40,000. Inventory turnover ratio is.

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Computation of Ratios
  या प्रश्नात किंवा उत्तरात काही त्रुटी आहे का?
पाठ 9: Ratio Analysis - Multiple Choice Questions [पृष्ठ ३१९]

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सामाचीर कलवी Accountancy [English] Class 12 TN Board
पाठ 9 Ratio Analysis
Multiple Choice Questions | Q I 10. | पृष्ठ ३१९

संबंधित प्रश्‍न

Calculate quick ratio: Total current liabilities ₹ 2,40,000; total current assets ₹ 4,50,000; Inventories ₹ 70,000; Prepaid Expenses ₹ 20,000


Current ratio indicates ______.


Match List I with List II and select the correct answer using the codes given below:

List I List II
(i) Current ratio 1. Liquidity
(ii) Net profit ratio 2. Efficiency
(iii) Debt-equity ratio 3. Long term solvency
(iv) Inventory turnover ratio 4. Profitability

Current liabilities ₹ 40,000; Current assets ₹ 1,00,000; Inventory ₹ 20,000. Quick ratio is


What is meant by debt-equity ratio?


What is the inventory conversion period? How is it calculated?


From the following Balance Sheet of James Ltd. as on 31.03.2019 calculate:

  1. Debt-equity ratio
  2. Proprietary ratio
  3. Capital gearing ratio
Balance Sheet (of James Ltd.)
as on 31.03.2018
Particulars Amount ₹
I EQUITY AND LIABILITIES  
1. Shareholders Funds  
(a) Share capital  
Equity share capital 2,50,000
6% Preference share capital 2,00,000
(b) Reserves and surplus 1,50,000
2. Non-current Liabilities  
Long –term borrowings (8% Debentures) 3,00,000
3. Current Liabilities  
Short -term borrowings from banks 2,00,000
Trade Payables 1,00,000
Total 12,00,000
II ASSETS  
1. Non-current assets  
Fixed assets  8,00,000
2. Current assets  
(a) Inventories  1,20,000
(b) Trade receivables  2,65,000
(c) Cash and cash equivalents 10,000
(d) Other current assets  
Expenses paid in advance  5,000
Total 12,00,000

From the following figures obtained from Arjun Ltd, calculate the trade payable turnover ratio and credit payment period (in days).

Particulars Rs.
Credit purchases during 2018 -2019 9,50,000
Trade creditors as on 01.04.2018 60,000
Trade creditors as on 3 1.03.2019 50,000
Bills payable as on 0L04.2018 45,000
BillS payable as on 3 1.03.2019 35000

Calculate

  1. Inventory turnover ratio
  2. Trade receivables turnover ratio
  3. Trade payables turnover ratio and
  4. Fixed assets turnover ratio from the following information obtained from Aruna Ltd.
Particulars As of 31st March 2018 (₹) As of 31st March 2019 (₹)
Inventory 3,60,000 4,40,000
Trade receivables 7,40,000 6,60,000
Trade Payable 1,90,000 2,30,000
Fixed assets 6,00,000 8,00,000

Additional information:

  • Revenue from operations for the year ₹ 35,00,000
  • Purchases for the year ₹ 21,00,000
  • Cost of revenue from operation ₹ 16,00,000
    Assume that sales and purchases are for credit.

From the following statement of profit. and loss of Dericston Ltd. Calculate

  1. Gross Profit ratio
  2. Net Profit ratio.
Statement of Profit and Loss
Particulars
I. Revenue from operations 24,00,000
II. Other income:  
Income from investment 70,000
III. Total revenues (I+II) 24,70,000
IV. Expenses:  
Purchases of stock-in-trade 18,80,000
Changes in inventories -80,000
Employee benefits expense 2,90,000
Other expenses 1,10,000
Provision for tax 30,000
Total expenses 22,30,000
V. Profit for year 2,40,000

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