# 12th | Ts grewal 2021-2022 Question 6 to 10 | ch:4 Accounting Ratios

#### Question 6:

Current Ratio is 2.5, Working Capital is  ` 1,50,000. Calculate the amount of Current Assets and Current Liabilities.

Current Ratio=Current Assets/Current Liabilities

2.5=Current Assets/Current Liabilities

Current Assets=2.5×Current Liabilities

Working Capital=Current Assets-Current Liabilities

=1,50,000=2.5

Current Assets-Current Liabilities

Current Liabilities=1,50,000/1.5

Current Liabilities= ` 1,00,000

Current Assets=2.5

Current Assets=Current Liabilities × Ratio of Current Assets

Current Assets=2.5×1,00,000

Current Assets= ` 2,50,000

#### Page No 4.101:

Question 7: Working Capital is `18,00,000; Trade Payables `1,80,000; and Other Current Liabilities are `4,20,000. Calculate Current Ratio.

 Current Liabilities = Trade Payables + Other Current Liabilities Current Liabilities = 1,80,000+4,20,000 Current Liabilities = 6,00,000 Current Assets = Working Capital+ Current Liabilities Current Assets = 18,00,000+6,00,000 Current Assets = 24,00,000 Current Ratio = Current Assets/ Current Liabilities Current Ratio = 24,00,000/6,00,000 Current Ratio = 4/1 = 4:1

#### Page No 4.101:

Question 8:  Working Capital `9,00,000; Total Debts (Liabilities) `19,50,000; Long-Term Debts `15,00,000. Calculate Current Ratio.

 Current Liabilities = Total Debts - Long-Term Debts Current Liabilities = 19,50,000-15,00,000 Current Liabilities = 4,50,000 Current Assets = Working Capital+ Current Liabilities Current Assets = 9,00,000+4,50,000 Current Assets = 13,50,000 Current Ratio = Current Assets/ Current Liabilities Current Ratio = 13,50,000/4,50,000 Current Ratio = 3/1 = 3:1

#### Question 9:

Current Assets are  ` 7,50,000 and Working Capital is  ` 2,50,000. Calculate Current Ratio.

Current Assets =  ` 7,50,000
Working Capital =
` 2,50,000
Working Capital = Current Assets – Current Liabilities
2,50,000 = 7,50,000 – Current Liabilities
Current Liabilities = 7,50,000 – 2,50,000 =
` 5,00,000

Current ratio= Current assets/Current liabilities=7,50,000/5,00,000=1.5:1

#### Question 10:

A company had Current Assets of  `4,50,000 and Current Liabilities of  `2,00,000. Afterwards it purchased goods for  `30,000 on credit. Calculate Current Ratio after the purchase.

Before purchased goods

Current Assets of `4,50,000 and Current Liabilities of `2,00,000

Current Ratio after the purchase

Current Ratio= Current Assets+ purchased goods/ Current Liabilities+ purchased goods

Current Ratio= 4,50,000+ 30,000/ 2,00,000+30,000

Current Ratio= 4,80,000/ 2,30,000

Current Ratio= 2.09:1 = 2.09:1