# 12th | Volume 3 | Chapter:4 | Question No. 21 to 25 | Accounting Ratio | Ts grewal Accounts Solution 2022-2023

#### Question 21:

Umesh Ltd. has Current Ratio of 4.5 : 1 and a Quick Ratio of 3 : 1. If its inventory is   `  36,000, find out its total Current Assets and total Current Liabilities.

Current ratio= Current assets/Current liabilities=4.5/1

Quick ratio= Quick assets/Current liabilities=3/1

Inventory = 36,000

Let Current Liabilities be = x

Current Assets = 4.5x

Quick Assets = 3x

Stock = Current Assets − Quick Assets

36,000 = 4.5x − 3x

x = 24,000

Current Assets = 4.5x = 4.5 × 24,000 = 1,08,000

Liquid Assets= 3x = 3 × 24,000 = 72,000

#### Question 22:

Current Ratio 4; Liquid Ratio 2.5; Inventory   `  6,00,000. Calculate Current Liabilities, Current Assets and Liquid Assets.

Current ratio= Current assets/Current liabilities=4/1

Liquid ratio= Liquid assets/Current liabilities=2.5/1

Inventory = 6,00,000

Let Current Liabilities be = x

Current Assets = 4x

Quick Assets = 2.5x

Stock = Current Assets − Quick Assets

6,00,000 = 4x − 2.5x

x = 4,00,000

Current Assets = 4x = 4 × 4,00,000 = 16,00,000

Liquid Assets = 2.5x = 2. 5× 4,00,000 = 10,00,000

#### Question 23:

Current Liabilities of a company are   `1,50,000. Its Current Ratio is 3 : 1 and Acid Test Ratio (Liquid Ratio) is 1 : 1. Calculate values of Current Assets, Liquid Assets and Inventory.

Current ratio= Current assets/Current liabilities=3/1

Acid test ratio= Liquid assets/Current liabilities=1/1

Current Liabilities = 1,50,000

Current Assets = 3 × Current Liabilities

= 3 × 1,50,000 = 4,50,000

Liquid Assets = 1 × 1,50,000 = 1,50,000

Inventory = Current Assets − Liquid Assets

= 4,50,000 − 1,50,000 = 3,00,000

#### Question 24:

Xolo Ltd.'s Liquidity Ratio is 2.5 : 1. Inventory is  ` 6,00,000. Current Ratio is 4 : 1. Find out the Current Liabilities.

Current ratio= Current assets/Current liabilities=4/1

Quick ratio= Quick assets/Current liabilities=2.5/1

Let the Current Liabilities be = x

Current Assets = 4x

Quick Assets = 2.5x

Stock = Current Assets − Quick Assets

6,00,000 = 4x − 2.5x

or, x = 4,00,000

Current Liabilities = x =  ` 4,00,000

#### Question 25:

Current Assets of a company is are   ` 5,00,000. Its Current Ratio is 2.5 : 1 and Quick Ratio is 1 : 1. Calculate value of Current Liabilities, Liquid Assets and Inventory.

Current ratio= Current assets/Current liabilities=2.5/1

Quick ratio= Liquid assets/Current liabilities=1/1

Current Assets = 5,00,000

Current ratio= Current assets/Current liabilities=5,00,000/2.5=2,00,000

Liquid Assets = Current Liabilities × 1 = 2,00,000

Inventory = Current Assets − Quick Assets

= 5,00,000 − 2,00,000 = 3,00,000