Question

current assets of a company were?100000 and its current ratio was 2:1 after this the company paid ?25000to a trade payable . the current ratio after the payment will be​

Answer 1

CA÷CL

100000-25000 = 75000

50000-25000 = 25000

3:1

Answer 2

"4 : 1"

Explanation:

Current Ratio = 2 : 1 (Current Assets ÷ Current Liabilities)

Current Assets = 100000

Current Liabilities = 50000 (∵ 2 : 1 = 100000/50000)

Company paid Trade payables = 50000 - 25000 = 25000

Therefore, Current Ratio = 100000/25000 = 4 : 1