if current ratio=2.5 : 1
liquid ratio= 1:1
closing stock=rs 45000

calculate
current assets
current liabilities
liquid assets



if current ratio=2.5 : 1 liquid ratio= 1:1 closing stock=rs 45000 calculate current assets cu..

Answer / lana

Current Ratio= Current Assets(C.A)/Current Liabilities(C.L.)

Liquid Ratio = Quick Assets(Current Assets - Inventory)/ Current Liabilities

* (C.A - 45000)/ C.L. = 1
* C.A./C.l. - 45000/C.l. = 1
* 2.5/1 - 45000/c.l. = 1
* 1.5 = 45000/ C.L.
* C.L = 45000/1.5
* C.L = 30000


* C.A. / C.L. = 2.5/1
* C.A. = 30000 * 2.5
* C.A. = 75000

Liquid assets = Current assets - Inventory
= 75000 - 45000
= 30000

Is This Answer Correct ?    10 Yes 1 No

Post New Answer

More Accounting General Interview Questions

get fixed assets items

0 Answers  


What Is Responsibility Accounting?

0 Answers  


is there is mentioned that we can adjust excess debtors with creditor in the stock statement while calculating Drawing Power

0 Answers   Ram and Associates,


what's the difference between impress cash account and petty cash account

0 Answers  


machinery purchase of 10000 plus transportation 800 what will be the journal entry

2 Answers   Air Smart HVAC Solutions, SS Solutions,






Payment made to creditors is a

1 Answers  


If balancing account is not assigned to company & is assigned to department wat will be the effects

0 Answers   Meru Cabs,


question paper pattern of factset

1 Answers   Capital IQ,


Tell me in accounting, how do you define premises?

0 Answers  


meaning of capital

2 Answers  


what is golden accounting rules

3 Answers   HCL,


Equipment A has a cost of Rs.75,000 and net cash flow of Rs.20000 per year for six years. A substitute equipment B would cost Rs.50,000 and generate net cash flow of Rs.14,000 per year for six years. The required rate of return of both equipments is 11 per cent. Calculate the IRR and NPV for the equipments. Which equipment should be accepted and why?

0 Answers  


Categories