Home
Class 12
ACCOUNTS
Current ratio of a firm is 9:4. Its curr...

Current ratio of a firm is `9:4`. Its current liabilities are Rs. 1,20,000. Inventory is Rs. 30,000. Its liquid ratio will be:

A

`1:1`

B

`1.5:1`

C

`2:1`

D

`1.6:1`

Text Solution

Verified by Experts

The correct Answer is:
C
Promotional Banner

Topper's Solved these Questions

  • ACCOUNTING RATIOS

    DK GOEL|Exercise Multiple Choice Questions (Solvency Ratios)|19 Videos

  • ACCOUNTING RATIOS

    DK GOEL|Exercise Multiple Choice Questions (Activity Ratios)|31 Videos

  • ACCOUNTING FOR PARTNERSHIP FIRMS - FUNDAMENTALS

    DK GOEL|Exercise Multiple Choice Questions (viii) Guarantee of Profit to a Partner (HOTS)|13 Videos

  • ACCOUNTING TREATMENT OF GOODWILL

    DK GOEL|Exercise ILLUSTRATION 6.|1 Videos