The following is the Balance Sheet of a company as on 31st March: Liabilities Rs. Assets Rs. Land and Buildings Plant and Machinery 1,40,000 3,50,000 2,00,000 1,00,000 10,000 40,000 8,40,000 Share Capital 2,00,000 30,000 40,000 4,20,000 1,00,000 50,000 8,40,000 Profit & Loss Account General Reserve Stock Sundry Debtors Bills Receivable 12% Debentures Sundry Creditors Bills Payable Cash at Bank Calculate : (1) Current Ratio (2) Quick Ratio (3) Inventory to working Capital (4) Debt to Equity Ratio (5) Proprietary Ratio (6) Capital Gearing Ratio (7) Current Assets to Fixed Assets
The following is the Balance Sheet of a company as on 31st March: Liabilities Rs. Assets Rs. Land and Buildings Plant and Machinery 1,40,000 3,50,000 2,00,000 1,00,000 10,000 40,000 8,40,000 Share Capital 2,00,000 30,000 40,000 4,20,000 1,00,000 50,000 8,40,000 Profit & Loss Account General Reserve Stock Sundry Debtors Bills Receivable 12% Debentures Sundry Creditors Bills Payable Cash at Bank Calculate : (1) Current Ratio (2) Quick Ratio (3) Inventory to working Capital (4) Debt to Equity Ratio (5) Proprietary Ratio (6) Capital Gearing Ratio (7) Current Assets to Fixed Assets
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
Related questions
Question

Transcribed Image Text:The following is the Balance Sheet of a company as on 31st
March:
Liabilities
Rs.
Assets
Rs.
1,40,000
3,50,000
2,00,000
1,00,000
10,000
40,000
8,40,000
Share Capital
Profit & Loss Account
Land and Buildings
Plant and Machinery
2,00,000
30,000
40,000
4,20,000
1,00,000
50,000
8,40,000
General Reserve
Stock
Sundry Debtors
Bills Receivable
12% Debentures
Sundry Creditors
Bills Payable
Cash at Bank
Calculate :
(1) Current Ratio
(2) Quick Ratio
(3) Inventory to working Capital
(4) Debt to Equity Ratio
(5) Proprietary Ratio
(6) Capital Gearing Ratio
(7) Current Assets to Fixed Assets
Expert Solution

This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 4 steps

Follow-up Questions
Read through expert solutions to related follow-up questions below.
Follow-up Question
Please provide solutions to sub parts 4 to 7
Solution
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.Recommended textbooks for you


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,


Accounting
Accounting
ISBN:
9781337272094
Author:
WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.
Publisher:
Cengage Learning,

Accounting Information Systems
Accounting
ISBN:
9781337619202
Author:
Hall, James A.
Publisher:
Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…
Accounting
ISBN:
9780134475585
Author:
Srikant M. Datar, Madhav V. Rajan
Publisher:
PEARSON

Intermediate Accounting
Accounting
ISBN:
9781259722660
Author:
J. David Spiceland, Mark W. Nelson, Wayne M Thomas
Publisher:
McGraw-Hill Education

Financial and Managerial Accounting
Accounting
ISBN:
9781259726705
Author:
John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles
Publisher:
McGraw-Hill Education