Question 56:
From the following information,
calculate 'Total Assets to Debt Ratio':
Particulars
|
₹
|
Particulars
|
₹
|
Current
Assets
|
8,00,000
|
9% Long-term
Bank Loan
|
1,00,000
|
Current
Liabilities
|
5,00,000
|
Shareholders'
Funds
|
15,00,000
|
10%
Debentures
|
4,00,000
|
|
|
Answer:
Formula:
Total Assets to Debt Ratio=Total Assets÷Debt
Total Assets = Current
Assets + Non-current Assets
Given:
Shareholders'
Funds = ₹15,00,000
Debt =
Long-term Bank Loan ( ₹1,00,000) + 10% Debentures ( ₹4,00,000) + Current
Liabilities ( ₹5,00,000)
Total Debt = ₹10,00,000
Total Assets= ₹15,00,000+ ₹10,00,000= ₹25,00,000
Debt = 9% Long-term Bank Loan + 10%
Debentures
Debt = ₹1,00,000 + ₹4,00,000
= ₹5,00,000
Total Assets to Debt Ratio= ₹5,00,000÷ ₹25,00,000=5:1
Question 57:
Calculate ‘Total Assets to Debt ratio’ from the following information;
|
|
₹
|
Equity share capital
|
4,00,000
|
Long-term Borrowings
|
1,80,000
|
Surplus, i.e. Balance in statement of
profit and Loss
|
1,00,000
|
General reserve
|
70,000
|
Current Liabilities
|
30,000
|
Long-term Provision
|
1,20,000
|
Answers;
Total
asset to debt ratio= total asset / debt
=
9,00,000/ 3,00,000
=3:1
Working note:
Wn-1.
Total
Assets = Total Liabilities = Equity Share Capital + Long-term Borrowings +
Surplus, i.e., Balance in Statement of Profit and Loss + General Reserve +
Current Liabilities + Long-term Provisions = 9,00,000
Wn-2
Debt
= Long-term Borrowings + Long-term Provisions = 3,00,000.
Question 58:
From the following information, calculate Total Assets to
Debt Ratio:
|
|
₹ |
|
|
₹ |
|
Fixed Assets (Gross) |
6,00,000 |
|
Accumulated Depreciation |
1,00,000 |
|
Non-current Investments |
10,000 |
|
Long-term Loans and Advances |
40,000 |
|
Current Assets |
2,50,000 |
|
Current Liabilities |
2,00,000 |
|
Long-term Borrowings |
3,00,000 |
|
Long-term Provisions |
1,00,000 |
Answer:
|
Debts |
= |
Long-term Borrowings+Long Term Provisions |
|
|
= = |
3,00,000+1,00,000 ₹4,00,000 |
|
Total Assets |
= = = |
Non-Current Assets + Current Assets 6,00,000 -1,00,000+10,000+2,50,000+40,000 ₹8,00,000 |
|
Total Assets to Debt Ratio |
= |
Total Assets/Debt |
|
|
= = |
8,00,0004,00,000 2:1 |
Proprietary
Ratio
Question 59:
From the following information, calculate Proprietary Ratio:
|
Share Capital |
₹3,00,000 |
Reserves and Surplus |
₹1,80,000 |
|
Non-current Assets |
₹13,20,000 |
Current Assets |
₹6,00,000 |
Answer:
Proprietary Ratio=Shareholders' Funds
Total AssetsProprietary Ratio=Share Capital+Reserves and SurplusNon-Current Assets+Current
Assets to Proprietary Ratio =3,00,000+1,80,000/13,20,000+6,00,000=0.25:1 or 25%
Question 60:
Calculate Proprietary Ratio from the following:
|
Equity Shares Capital |
₹4,50,000 |
9% Debentures |
₹3,00,000 |
|
10% Preference Share Capital |
₹3,20,000 |
Fixed Assets |
₹7,00,000 |
|
Reserves and Surplus |
₹65,000 |
Trade Investment |
₹2,45,000 |
|
Creditors |
₹1,10,000 |
Current Assets |
₹3,00,000 |
Answer:
Total Assets = Fixed Assets + Trade Investments + Current
Assets
= 7,00,000 + 2,45,000 + 3,00,000 =
12,45,000
Shareholders’ Funds = Equity Share Capital + 10% Preference
Share Capital + Reserves and Surplus
= 4,50,000 + 3,20,000 + 65,000 =
8,35,000
Proprietary Ratio= Shareholders’ fund/Total
Assets=8,35,000/12,45,000=0.67:1
Ts Grewal Solution 2025-2026
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Class 12 / Volume – III
Chapter 4 – Accounting Ratios