Q21Written answer
Calculate the following ratio on the basis of following information:
(i) Gross Profit Ratio (ii) Current Ratio (iii) Acid Test Ratio (iv) Inventory Turnover Ratio (v) Fixed Assets Turnover Ratio
| ₹. | |
| Gross Profit | 50,000 |
| Revenue from Operations | 1,00,000 |
| Inventory | 15,000 |
| Trade Receivables | 27,500 |
| Cash and Cash Equivalents | 17,500 |
| Current Liabilities | 40,000 |
| Land & Building | 50,000 |
| Plant & Machinery | 30,000 |
| Furniture | 20,000 |
Show solutionHide solution
Worked solution
Average Inventory = 15,000*
Note: As the values for inventory in the beginning and inventory at the end is not given, the amount of inventory is taken as average.
