Q.1 Joy Industry Limited started in 2005.This company is showing continuous growth. This company has 97% owned capital. Now this company is planning for expansion as the demand of their product is increasing and they have received good orders for export. This company is entering in a joint venture with Winnie International USA and the same company is going to invest in Joy Industry. The Balance Sheet of Joy Industry Limited as on 31-12-2008 was as follows: - Particular Rs. Particular Rs. 80,000 Plant and Machinery 16,000 | Land and Buildings 64,000 | Furniture & Fixtures 32,000 | Stock 8,000 | Debtors 8,000 | Investments (Short- 8,000 term) 24,000 | Cash in hand 2,40,000 Equity Share Capital Capital Reserve 8% Loan on Mortgage 48,000 80,000 32,000 Creditors 24,000 Bank overdraft 24,000 8,000 24,000 Taxation: Current Future Profit and Loss A/c From the above, compute (a) the Current Ratio, (b) Quick Ratio, (c) Debt-Equity Ratio, 2,40,000

Q.1 Joy Industry Limited started in 2005.This company is showing continuous growth. This company has 97% owned capital. Now this company is planning for expansion as the demand of their product is increasing and they have received good orders for export. This company is entering in a joint venture with Winnie International USA and the same company is going to invest in Joy Industry. The Balance Sheet of Joy Industry Limited as on 31-12-2008 was as follows: - Particular Rs. Particular Rs. 80,000 Plant and Machinery 16,000 | Land and Buildings 64,000 | Furniture & Fixtures 32,000 | Stock 8,000 | Debtors 8,000 | Investments (Short- 8,000 term) 24,000 | Cash in hand 2,40,000 Equity Share Capital Capital Reserve 8% Loan on Mortgage 48,000 80,000 32,000 Creditors 24,000 Bank overdraft 24,000 8,000 24,000 Taxation: Current Future Profit and Loss A/c From the above, compute (a) the Current Ratio, (b) Quick Ratio, (c) Debt-Equity Ratio, 2,40,000

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter8: Basic Stock Valuation

Section: Chapter Questions

Problem 9MC

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