Question
6:
Working
Capital is ₹18,00,000; Trade Payables ₹1,80,000; and Other Current
Liabilities are ₹4,20,000. Calculate Current Ratio.
Answer:
|
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 |
Question
7:
Working Capital ₹9,00,000; Total Debts
(Liabilities) ₹19,50,000; Long-Term Debts ₹15,00,000. Calculate
Current Ratio.
Answer:
|
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 8:
Current Assets are ₹7,50,000 and Working Capital is
₹2,50,000. Calculate Current Ratio.
Answer:
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 9:
Current Liabilities of a company
were ₹1,75,000 and its Current Ratio was 2: 1. It paid ₹30,000 to a
Creditor. Calculate Current Ratio after payment.
Answer:
Current
Ratio= 2:1 before payment to Creditor
Current
Liabilities = ₹1,75,000 before
payment to Creditor
Current
Assets = ( ₹1,75,000×2)=3,50,000
before payment to Creditor
Current
Ratio Afterpayment to Creditor
=3,50,000-30,000/1,75,000-30,000
Current
Ratio = 3,20,000/1,45,000
Current
Ratio = 2.21/1
Question 10;
Current Assets ₹20,00,000, Inventories ₹10,00,000, Working
capital ₹12,00,000, Calculate Current Ratio.
Answers;
Current liabilities = Current Assets- Working capital
Current liabilities = 20,00,000 - 12,00,000 =8,00,000
Current ratio= Current Assets/ Current liabilities
Current ratio= 20,00,000/8,00,000= 2.5:1
Ts Grewal Solution 2025-2026
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Class 12 / Volume – III
Chapter 4 – Accounting Ratios