Question

Working capital is equals to rupees 600000 total debt is equal to 27 lakh non current liabilities equals to 24 lakh calculate current ratio

Answer 1

Answer

40

3.0

Answer:

Current Ratio = 3:1

Explanation:

Total Debt = 27,00,000

Non-current Liabilities = 24,00,000

So, Current Liabilities = 27,00,000 -

*24,00,000

= ₹3,00,000

Working capital = ₹6,00,000

Accordingly,

Current Asset - Current Liabilities: =

€6,00,000

Or, Current Assets - ₹3,00,000 =

₹6,00,000

Or, Current Assets = 9,00,000

Current Ratio = Current Assets/Current

Liabilities

= 9,00,000/€3,00,000

= 3:1