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प्रश्न
Gross Profit at 25% on cost; Gross profit ₹ 5,00,000; Equity Share Capital ₹ 10,00,000; Reserves and Surplus 2,00,000; Long-term Loan 3,00,000; Fixed Assets (Net) ₹ 10,00,000. Calculate Working Capital Turnover Ratio
उत्तर
Gross Profit = 25% on Cost
Let Cost be = Rs x
Gross Profit = `x xx 25/100 = (25x)/100`
or, 500000 = `(25x)/100`
or, x = `500000/25 xx 100 = 2000000`
∴ Cost of Goods Sold = 20,00,000
Net Sales = Cost of Goods Sales + Gross Profit
= 2000000 + 500000 = 2500000
Capital Employed = Equity Share Capital + Reserves and Surpluss + Long term loan
= 1000000 + 200000 + 300000 = 1500000
Working Capital = Capital Employed - Fixed Assets
= 1500000 - 1000000 = 500000
Working Capital Turnover Ratio = `"Net Sales"/"Working Capital" = 2500000/500000` = 5 times
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संबंधित प्रश्न
From the following Balance Sheet and other information, calculate following ratios: (i) Debt-Equity Ratio (ii) Working Capital Turnover Ratio (iii) Trade Receivables Turnover Ratio
Balance Sheet as at March 31, 2017
| Particulars | Note No. | Rs. |
| I. Equity and Liabilities: | ||
| 1. Shareholders’ funds | ||
| a) Share capital | 10,00,000 | |
| b) Reserves and surplus | 9,00,000 | |
| 2. Non-current Liabilities | ||
| Long-term borrowings | 12,00,000 | |
| 3. Current Liabilities | ||
| Trade payables | 5,00,000 | |
| Total | 36,00,000 | |
| II. Assets | ||
| 1. Non-current Assets | ||
| a) Fixed assets | ||
| Tangible assets | 18,00,000 | |
| 2. Current Assets | ||
| a) Inventories | 4,00,000 | |
| b) Trade Receivables | 9,00,000 | |
| c) Cash and cash equivalents | 5,00,000 | |
| Total | 36,00,000 |
Additional Information: Revenue from Operations Rs. 18,00,000
X Ltd. has a Current Ratio of 3.5 : 1 and Quick Ratio of 2 : 1. If the Inventories is ₹ 24,000; calculate total Current Liabilities and Current Assets.
X Ltd. has Current Ratio of 4.5 : 1 and a Quick Ratio of 3 : 1. If its inventory is ₹ 36,000, find out its total Current Assets and total Current Liabilities.
Shareholders' Funds ₹ 1,60,000; Total Debts ₹ 3,60,000; Current Liabilities ₹ 40,000.
Calculate Total Assets to Debt Ratio.
Closing Trade Receivables ₹ 1,00,000; Cash Sales being 25% of Credit Sales; Excess of Closing Trade Receivables over Opening Trade Receivables ₹ 40,000; Revenue from Operations, i.e., Net Sales ₹ 6,00,000. Calculate Trade Receivables Turnover Ratio.
Calculate Gross Profit Ratio from the following data:
Average Inventory ₹3,20,000; Inventory Turnover Ratio 8 Times; Average Trade Receivables ₹4,00,000; Trade Receivables Turnover Ratio 6 Times; Cash Sales 25% of Net Sales.
Revenue from Operations ₹ 9,00,000; Gross Profit 25% on Cost; Operating Expenses ₹ 45,000. Calculate Operating Profit Ratio.
Revenue from Operations, i.e., Net Sales ₹ 8,20,000; Return ₹ 10,000; Cost of Revenue from Operations (Cost of Goods Sold) ₹ 5,20,000; Operating Expenses ₹ 2,09,000; Interest on Debentures ₹ 40,500; Gain (Profit) on Sale of a Fixed Asset ₹ 81,000. Calculate Net Profit Ratio.
Calculate the amount of opening trade receivables and closing trade receivables from the following information:
Trade receivables turnover ratio 8 times
Cost of revenue from operations ₹ 4,80,000
The amount of credit revenue from operations is ₹ 2,00,000 more than cash revenue from operations. Gross profit ratio is 20%. Opening trade receivables are 1/4th of Closing trade receivables.
Liquid assets are determined by:
Higher the ratio, the more favourable it is, doesn't stand true for:
Collection of debtors:
Items excluded in liquid assets are:
Which one of the following is correct?
- A ratio is an arithmetical relationship of one number to another number.
- Liquid ratio is also known as acid test ratio.
- Ideally accepted current ratio is 1: 1.
- Debt equity ratio is the relationship between outsider’s funds and shareholders’ funds.
Consider the following statements.
Statement 1 - "Profit and loss account shows the operating performance of an enterprise for a period of time".
Statement 2 - "The Profit and loss account describes the different business activities such as revenues and expenses".
Debt Ratio can be calculated as ______?
The ______ ratios provide the information critical to the long run operation to the firm.
X Ltd. has a Debt-Equity Ratio of 3 : 1. According to the management, it should be maintained at 1 : 1. What are the choices in front of management to do so?
What relationship will be established to study:
Trade payables turnover
From the following calculate Interest coverage ratio
Net profit after tax Rs 12,00,000; 10% debentures Rs 1,00,00,000; Tax Rate 40%
