The debt equity ratio of M Ltd. is 2:1. State with reasons whether the following transactions will increase, decrease or not change the debt equity ratio: (i) Obtained a loan from 1CICI Bank ₹1,00,000 payable after 5 yrs. (ii) Purchased machinery for cash ₹1,50,000. (ii) Redeemed 9% debentures ₹1,00,000, (iv) Issued equity shares for purchase … Read more
(i) Calculate Revenue from operations of BN Ltd.’ from the following information: Current Assets ₹8,00,000 Quick ratio 1.5 : 1 Current ratio 2 : 1 Inventory turnover ratio 6 times Goods were sold at a profit of 25% on cost. (ii) The operating ratio of a company is 60%. State whether … Read more
From the following information, calculate ‘Interest Coverage Ratio. Profit after interest and tax ₹7,50,000 Rate of income tax 25% 9 % Debentures ₹8,00,000 Marks-3, CBSE:2020-21/Sample/Q-30* Answer : Next Back
Calculate proprietary ratio, if Total assets to Debt ratio is 2:1. Debt is ₹5,00,000. Equity shares capital is 0.5 times of debt. Preference Shares capital is 25% of equity share capital. Net profit before tax is ₹10,00,000 and rate of tax is 40%. Marks-3, CBSE:2020-21/Sample/Q-30* Answer : Next Back
(i) X Ltd. has a current ratio of 3 : 1 and quick ratio of 2 : 1. The excess of current assets over quick assets are ₹24,000. Calculate current assets and current liabilities. (ii) From the following information, compute ‘Total Assets to Debt Ratio’: Marks-3, CBSE:2019-20/Compartment/Q-30* Answer : Next Back
40. Calculate opening and closing trade receivables from the following information: Trade Receivable turnover ratio 4 times; Cost of Revenue from Operations Rs. 3,20,000; Gross profit ratio 20%; Closing trade receivables were Rs. 15,000 more than opening trade receivables; cash revenue from operations being 33⅓ % of credit revenue from operations. Marks-4, CBSE:2018-19/Main/03/Q-21* Answer Next … Read more
39. Calculate the amount of opening trade receivables and closing trade receivables from the following information: Trade receivables turnover ratio 8 times Cost of revenue from operations Rs. 4,80,000 The amount of credit revenue from operations is Rs. 2,00,000 more than cash revenue from operations. Gross profit ratio is 20%. Opening trade receivables are 1/4th … Read more
38. The Revenue from operations of a firm is Rs. 6,00,000. Its inventory turnover ratio is 3 times. If gross profit ratio is 25%, calculate its opening inventory and closing inventory. The opening inventory is 25% of closing inventory. Marks-3, CBSE:2019-20/Main/04/Q-30* Answer Next Back
45. The operating ratio of a company is 80%. State whether the following transactions will increase, decrease or not change the ratio: (i) Purchased goods on credit Rs. 20,000 (ii) Paid wages Rs. 5,000 (iii) Redeemed Rs. 8,000, 9% debentures (iv) Sold goods Rs. 50,000 for cash Marks-4, CBSE:2018-19/Main/04/Q-22* Answer Next Back
28. Average Inventory Rs. 60,000, Revenue from Operations Rs. 6,00,000, the rate of Gross Loss on Sales is 10%. Calculate the Inventory Turnover Ratio. Marks-3, CBSE:2019-20/Main/02/Q-30(i)* Answer Next Back