Question

Calculate current ratio from the following total assets 1200000 land and building 600000 machinary 100000 non current investment 140000 shareholders fund 850000 non current liabilities 110000

Answer 1

Answer:

Current Ratio = 1.5:1

Explanation:

Total Assets = ₹12,00,000

Fixed Assets =

₹6,00,000 + ₹1,00,000 + ₹1,40,000

₹8,40,000

Current Assets =

Total Assets - Fixed Assets

₹12,00,000 - ₹8,40,000

₹3,60,000

Current Liabilities =

Total Assets - Shareholder's fund - N.C Liabilities.

₹12,00,000 - ₹8,50,000 - ₹1,10,000

₹2,40,000

Current Ratio =

Current Assets/Current Liabilities

₹3,60,000/₹2,40,000

1.5:1

I hope it helps :)

Answer 2

Answer:

1.5:1

Explanation:

Current ratio = Current Asset / Current Liability

Total Assets = 12,00,000

Fixed Assets = Land and building +

Machinery + Non-Current

investments

=6,00,000 + 1,00,000 +

1,40,000

=8,40,000

Current Asset = Total Assets - Fixed Assets

= 12,00,000 - 8,40,000

= 3,60,000

Current Liability = Total Assets -

Shareholders fund - Non-

Current Liability

= 12,00,000 - 8,50,000 -

1,10,000

= 2,40,000

Current Ratio = 3,60,000/2,40,000

= 1.5:1

Hope it will helps you :)