Question

prepare Current assets & current liability for the following?


Current ratios - 3.5
working capital - 90000​

Answer 1

Answer:

Current Liabilities = ₹36,000

Current Assets = ₹1,26,000

Explanation:

Let, Current Liabilities = X

Current Assets = 3.5 × X =3.5x

Accordingly,

Current Asset - Current Liabilities = ₹90,000

Or, 3.5x - X = ₹90,000

Or, 2.5x = ₹90,000

Or, X = ₹90,000/2.5

Or, X = ₹36,000

Hence,

Current Liabilities = ₹36,000

Current Assets = ₹36,000 × 3.5

= ₹1,26,000

I hope that it will help :)