Calculate the Trade payables turnover ratio from the following figures:
`{:(,,,Rs.),("Credit purchases during 2016-17",, =, 12_(,)00_(,)000),("Creditors on 1.4.2016",, = ,3_(,)00_(,)000),("Bills Payables on 1.4.2016",,=, 1_(,)00_(,)000),("Creditors on 31.3.2017",,=,1_(,)30_(,)000),("Bills Payables on 31.3.2017",,=, 70_(,)000):}`

Explanation

Trade Payables Turnover Ratio `=("Net Credit Purchases")/("Average Trade Payables")`
`"Average Trade Payables" =(" Creditors in the beginning + Bills payables in the beginning + Creditors at the end + Bills payables at the end")/(2)`
`=(Rs. 3,00,000 + Rs. 1,00,000 + Rs. 1,30,000 + Rs. 70,000)/(2)`
= Rs. 3,00,000
`:."Trade Payables Turnover Ratio" =(Rs. 12,00,000)/(Rs. 3,00,000)= 4 "times"`