For a ratio of 2
Present level of current assets
Necessary decline
Rs. 50.000
Rs. 50,000 - Rs. 400
- 10.000
Illustration 25
Following information is given by a company from its books of accounts as
March 31, 2015:
Inventory
Total Current Assets
Shareholders funds
1996 Debentures
Current liabilities
Net Profit Before Tax
Cost of revenue fram operations
1.00.000
1.60.000
4.00,000
3,00.000
1:00,000
3.51.000
5.00.000
Calculate
1) Current Ratio
11) Liquid Ratto
u Debt Equity Ratio
iv Interest Coverage Ratio
Inventory Turnover Ratio
Solution:
Current Assets
Current Ratio
Current asilities
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