calculate inventory turnover ratio cost of good sold150000, current ratio 1.5 acid test ratio 1.2 current liability 100000
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Explanation:
answer is 40,000What would you like to ask?
12th
Accountancy
Accounting Ratios
Liquidity Ratios
Given that,Current Ratio = ...
ACCOUNTANCY
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Asked on December 27, 2019 by
Ajeeta Shaw
Given that,
Current Ratio = 2.5
Acid-test ratio = 1.5
Net working capital = Rs. 60,000
The value of current liabilities will be ___________ .
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ANSWER
Given,
Current ratio = 2.5 : 1
Quick Ratio = 1.5 : 1
Net working capital = 60,000
Net working capital = Current assets - Current liabilities
Current Assets = Net working capital + Current liabilities
= 60,000 + Current liabilities (1)
Current ratio = Current assets
-------------------------
Current liabilities
Current Assets = Current liabilities x 2.5 (2)
Merging equation (1) and (2)
60,000 + Current liabilities = 2.5Current liabilities
60,000 = 2.5 current liabilities - Current liabilities
60,000 = 1.5 Current liabilities
Current liabilities = 60,000
--------------
1.5
= 40,000
Therefore, current liabilities = 40,000