Accountancy, asked by deeptiy352, 1 day ago

Current Ratio of a Company is 2.4: 1 and its Current Liabilities are 22,00,000, Subsequently, it sold goods costing 1,00,000 at a profit of 40%, half of which was on Credit. Current ratio will be:

(A) 3.1:1

(B) 2.4:1 (C) 2.6:1

(D) 2.5:1

Answers

Answered by 1234komal4321
0

Answer:

Here is your answer

Hope u like it

Explanation:

Given,

Current liabilities = Rs-1,75,000

Current Ratio = 2:1

If 30,000 is paid to a creditor it will reduce both current assets as well as current liabilities as cash is being paid and creditors are reduced. Hence, new ratio will be:-

Current Ratio = Current Assets

-------------------------

Current liabilities

= 3,50,000 (WN 1) - 30,000

--------------------------------------

1,75,000 - 30,000

= 3,20,000

--------------

1,45,000

= 2.2 : 1

Working note 1) = Current assets

Current Ratio = Current Assets

-------------------------

Current liabilities

Current Assets = Current liabilities x current ratio

= 1,75,000 x 2

= 3,50,000.

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