Home
Class 12
ACCOUNTS
Current Assets are 525000 Inventories 20...

Current Assets are 525000 Inventories 200,000 (includes Loose Tools 75000), Working capital 225000 Calculate Current Ratio.

Text Solution

Verified by Experts

Current Ratio=`("Current Assets")/("Current Liabilities")=(Rs 450000^(*))/(Rs 300000)=1.5:1`
Woking capital =current assets-current libalilities
Current liabilities =current asset=working capital
=Rs 525000-Rs 225000=Rs 300000
Current assets =current assets- Loose Tools
=Rs 525000-Rs 75000-Rs 450000
Note Loose Tools are excluded from current assets to compute current ratio.
Promotional Banner

Topper's Solved these Questions

  • ACCOUNTING RATIOS

    TS GREWAL|Exercise Evaluation Questions|13 Videos

  • ACCOUNTING RATIOS

    TS GREWAL|Exercise Exercise|147 Videos

  • ACCOUNTING FOR PARTNERSHIP FIRMS-FUNDAMENTALS

    TS GREWAL|Exercise EVALUATION QUESTION :QUESTIONSWITHMISSINGVALUES|3 Videos

  • Admission of a Partner

    TS GREWAL|Exercise EXERCISE|107 Videos

Similar Questions

Explore conceptually related problems

Current Assets are 400000 Inventories 200000 Working capital 240000 calculate current Ratio.

Current assets are Rs 750000 and working capital is Rs 250000. calculate current ratio.

Current assets Rs 300000, inventories Rs 600000, working capital Rs 252000 calculate quick ratio

Quick assets Rs 150000, inventroy (stock) Rs 40000, prepaid Expaneses Rs 10000, working capital Rs 120000 calculate current ratio.

From the following data, calculate current Ratio: Liquid Assets 37500, Inventories 10000, Prepaid Expenses 2500, Working capital 30000.

Current Assets ₹ 15,00,000, Credit sale ₹ 42,50,000 , Cash sales ₹ 3,75,000, Sales Return ₹ 1,25,000. Calculate Current Assets Turnover Ratio.

Inventories are 80000 Working Capital 240000, Current Assets 400000,Calculate Liquid/Quick Ratio.

TS GREWAL-ACCOUNTING RATIOS -Exercise
  1. Current Assets are 525000 Inventories 200,000 (includes Loose Tools 75...

    Text Solution

    |

  2. From the following compute curent ratio:

    Text Solution

    |

  3. calculate current ratio from the following information:

    Text Solution

    |

  4. Current ratio is 2.5 working capital is Rs 150000. calculate the amoun...

    Text Solution

    |

  5. Working capital is Rs 900000, Trade payables Rs 90000, and other curre...

    Text Solution

    |

  6. Working capital Rs 180000, total debts Rs 390000, long term debts Rs 3...

    Text Solution

    |

  7. Current assets are Rs 750000 and working capital is Rs 250000. calcula...

    Text Solution

    |

  8. Trade payables rs 50000 working capital Rs 900000, current liabilities...

    Text Solution

    |

  9. A company had current assets of Rs 450000 and current liabilites of Rs...

    Text Solution

    |

  10. Current liabilites of a company were Rs 175000 and its current ratio w...

    Text Solution

    |

  11. Ratio of current assets (Rs 300000) to current liabilities (Rs 200000)...

    Text Solution

    |

  12. Ratio of currents assets (Rs 275000) to curent liabilites (Rs 350000) ...

    Text Solution

    |

  13. A firm had curent assets of Rs 500000.It paid current liabilities of R...

    Text Solution

    |

  14. state giving reason whether the current ratio will improve or decline ...

    Text Solution

    |

  15. state giving reasons which of the following transactions would improve...

    Text Solution

    |

  16. From the following information calcualte liquid ratio:

    Text Solution

    |

  17. Quick assets Rs 150000, inventroy (stock) Rs 40000, prepaid Expaneses ...

    Text Solution

    |

  18. Current assets Rs 300000, inventories Rs 600000, working capital Rs 25...

    Text Solution

    |

  19. Woking capital Rs 360000, total debts Rs 780000, long term debts s 600...

    Text Solution

    |

  20. Current liablities of a company are Rs 600000. Its current ratio is 3:...

    Text Solution

    |

  21. X ltd has a current ratio fo 3.5 :1 and quick ratio of 2:1 if the inve...

    Text Solution

    |