All Matches

Solution Library

Expert Answer

Textbooks

Search Textbook questions, tutors and Books

Oops, something went wrong!

Change your search query and then try again

Result Not Found

Books FREE
Tutors
Study Help
Ask a Question
AI Study Help New

Search
Sign In
Register

study help
business
horngrens accounting managerial

Questions and Answers of Horngrens Accounting managerial

Current ratio measures long-term solvency of a concern.
Stock is a part of Liquid / Acid-text Ratio.
‘Rule of thumb’ for Current Ratio is 2 : 1.
‘Rule of thumb’ for Acid-text Ratio is 1 : 1.
Gross Profit Ratio measures overall profitability of a concern.
Solvency Ratio is a part of long-term solvency.
Current Ratio improves with increase in credit sales.
Working capital is the excess of current assets over current liabilities.
Activity Ratios and Turnover Ratios are the same.
Profitability ratio is generally shown in ............. (Simple Ratio /Percentage /Times)
Operating ratio comes under ............. (Profitability Ratio / Activity Ratio)
Stock Turnover ratio comes under ............ (Activity ratio / Liquidity Ratio)
The ideal Current Ratio is ............. (2 : 1 / 1 : 2 / 0.5 : 2)
When current ratio is 2 : 5 and the amount of current liabilities is Rs. 25,000, the current assets will be ............ (Rs. 62,500 / Rs. 12,5000 / Rs. 10,000)
Name any two such assets which are to be included in liquid asset.
State any two ratios which are to be included in Solvency Ratio.
Name any two types of classification of Ratios.
State anyone objective of Ratio Analysis.
State anyone limitation of Ratio Analysis.
What is the formula of calculating current ratio?
What is the formula for calculating quick or liquid ratio?
What do you mean by Accounting Ratios?
What do you mean by Solvency Ratio?
What does the Debt-equity Ratio indicate?
What is meant by ‘Ratio’?
What do the Liquidity Ratios indicate?
What is meant by Current Assets?
What is meant by Current Liabilities?
State the ideal ratio of Liquidity Ratio.
State the ideal ratio of Quick Ratio.
What is meant by cost of goods sold?
In how many ways ratios can be expressed?
What is Profitability Ratio? Explain.
What is Operating Ratio? Explain.
Distinguish between Current Ratio and Quick Ratio.
Describe the importance of Ratio Analysis.
What is Activity Ratio?
Give the significance of Gross Profit Ratio.
What is Turnover Ratio?
Discuss Inventory Turnover Ratio.
What is Current Ratio?
What is Debt-equity Ratio?
What is ratio analysis? Explain its objectives and limitations.
Distinguish between Current Ratio and Quick ratio. Why Quick Ratio is considered to be more dependable than Current Ratio? Specify.
Explain the procedure of measuring short-term solvency of a business through the ratio analysis.
Explain the important ratios calculated for evaluating the profitably of a company.
What ratio would you use to measure: (i) liquidity, (ii) long-term solvency and profitability of a concern?
Explain the importance and the method of calculation of the following ratios:(i) Liquid Ratio, (ii) Debt-Equity Ratio, (iii) Debtors-turnover Ratio, and (iv) Return on Equity-shareholder’s Funds.
What are the objectives of ratio analysis? Give its Limitation also.
What do you understand by ‘Return on Capital Employed’? How is it calculated?
Compute return on equity and earring per share (Eps) and explain what their ratio mean?
Compute the gross profit ratio and profit margin to evaluate a firm profitability.
From the following particulars you are required to compute Net Profit Ratio.Rs. Rs.Stock 1,00,000 Creditors 1,20,000 Advance paid 8,000 Sales (Net) 14,00,000 Cash in hand 60,000 Gross Profit 1,00,000
From the following, calculate Debtors Turnover Ratio and Average Age of Receivables:Rs.Net Sales (Credit) 15,00,000 Sundry Debtors 1,40,000 Bills Receivable 90,000
From the following particulars, calculate (i) Current Ratio; (ii) Net Profit Ratio and (iii)Gross Profit Ratio.Net Sales - Rs.1,40,000; Gross Profit - Rs.10,000; Net Profit - Rs.6,000; Bills
Following is the Balance Sheet of ABC Ltd. as on 31.03.1999.Calculate Return on Investment.Liabilities Rs. Assets Rs.Equity Share Capital 18,00,000 Fixed Assets 30,00,000 General Reserve 4,00,000
From the following information, calculate Debt-Equity Ratio:Rs. Rs.Equity Share Capital 1,00,000 General Reserve 30,00,000 Accumulated Profits 40,000 12% Debentures 1,25,000 10% Pref. Share Capital
From the following data calculate:(i) Gross Profit Ratio, (ii) Net Profit Ratio, (iii) Working Capital Turnover Ratio and (iv)Return on Capital Employed.Rs. Rs.Net Sales 30,00,000 Cost of Sales
From the following details, calculate: (i) Stock Turnover Ratio and (ii) Debtors Turnover Ratio:Annual Sales Rs. 2,00,000; Gross Profit 25% on cost; opening Stock - Rs.38,500; Closing Stock Rs.
The debt-equity ratio of ABC Ltd. is 1:2, which of the following would(i) increase (ii) decrease (iii) neither increase nor decrease the debt equity ratio: (a) Issue of debentures; (b) Redemption of
Mohan Ltd. present to you the following:Balance Sheet as on 31st. December, 2009 Liabilities Rs. Assets Rs.Equity Share Capital 50,000 Fixed Assets 87,500 8% Pref. Share Capital 10,000 Investments
A Ltd. has a current ratio of 4.5: 1 and liquidity ratio is 3 :
If its stock is Rs. 24,000.Find out total current liabilities.
Gross profit of Lal Co. Ltd. for the year 2008-09 is Rs. 9,20,000. From the following, calculate Net Profit ratio:Rs.Administrative Expenses 3,00,000 Selling & Distribution Expenses 2,20,000 Income
Working capital of a company is Rs. 33,000. Its current ratio is 2.5:
Calculate the value of (i) Current Assets; (ii) Current Liabilities; (iii) Acid Test Ratio, assuming stock of Rs. 25,000.
Current liabilities of a company are Rs. 60,000. Its current ratio is 3 : 1 and acid test ratio is 1.8 :
Calculate the value of (i) Current Assets, (ii) Liquid Assets and (iii) Stock.
Calculate the Debt Equity Ratio from the following:Liabilities Rs. Assets Rs.Equity Share Capital 3,00,000 Land 2,00,000 Preference Share Capital 50,000 Plant and Machinery 3,00,000 Reserve 1,65,000
Balance Sheet of Garg Rubber Ltd.Liabilities Rs. Assets Rs.Share Capital 3,20,000 Building 3,00,000 9% Debentures 1,20,000 Machinery 60,000 Current Liabilities 3,04,000 Stock 1,76,000 Profit and Loss
From the following information, calculate interest average ratio and give your comments also:Rs.Net Profit after interest and Tax 1,20,000 Rate of Income Tax 50%15% Debentures 1,00,000 12% Mortgage
The following is the Balance Sheet of X Ltd. for the year ending 31st March:Liabilities Rs. Assets Rs.Equity Share Capital 75,000 Fixed 2,00,000 Preference Share Capital 25,000 Debtors 6,00,000
The following is the balance Sheet of X Ltd. as on 31st Dec.,2008.Liabilities Rs. Assets Rs.Equity Share Capital 3,00,000 Fixed Assets 10,80,000 10% Preference Share Less: Depreciation 3,00,000
Following are the ratios relating to the trading activities of an Organisation:Debtors Velocity 3 months Stock Velocity 6 months Creditors Velocity 2 months Gross Profit Ratio 20 %Gross Profit for
Prepare the Balance Sheet of Y Ltd. from the following details:Gross Profit Ratio 40%Stock turnover ratio 8 Capital turnover ratio 2 Fixed Assets turnover ratio 6 Debtors Velocity 3 months Creditors
From the following information relating to a limited company, prepare a Statement of Proprietor’s Funds.(i) Current Ratio 2(ii) Liquid Ratio 1.5(iii) Fixed Assets /Proprietary Fund 3/4(iv) Working
Using the following information, draw up the Balance Sheet given below:Gross Profit (25% of Sales) Rs. 1,50,000 Credit Sales to Total Sales 60%Total Sales/Total Assets 2.5 time Stock Velocity 2
Complete the following Balance Sheet :Liabilities Rs. Assets Rs.Equity Share 4,80,000 Fixed Assets -Reserves and Surplus - Stock -Current Liabilities - Debtors -Cash -Total Total You are informed
Using the information and the form given below, complete the Balance Sheet for a firm having sales of Rs. 18,00,000.Sales to net Worth 2.25 times Long-term debt to net worth 60%Total-debt to net
With the following ratio, prepare trading and Profit and Loss account and a balancesheet:1. Gross Profit ratio 20%2. Net Profit/sales 15%3. Stock turnover ratio 84. Net Profit/Capital 15%5. Capital
Gross Profit ratio 20%
Net Profit/sales 15%
Stock turnover ratio 8
Net Profit/Capital 15%
Capital to total outside liabilities 4/7
The valuation of inventory only affects the income statement.
Periodic inventory gives a continuous balance of stock in hand.
FIFO method correlates the current costs with the current market price.
Inventory should be valued at the lower of historical cost and current replacement cost.
LIFO method is suitable for items which are of a non-perishable and bulky type.
Changes in the accounting policies relating to stock valuation are expensed only to statutory audito Rs. and are not disclosed in the financial statement
The test of objectivity and verifiability is satisfied by valuing inventory at:(a) Historical Cost.(b) Current Replacement Price.(c) Net Realisable Value.
Inventory is valued at lower of the cost or net realisable value on account of the accounting principle of:(a) Consistency. (b) Conservatism.(c) Realisation.
The system which gives a continuous information regarding quantum and value of inventory known as:(a) Continuous Stocktaking. (b) Periodic Inventory.(c) Perpetual Inventory.
The value of inventory will be the least in case of:(a) Aggregate or Total Inventory Method.(b) Item by Item Method.(c) Group or Category Method
Define “inventory”. Why proper valuation of inventory is important?
Discuss the different methods of inventory valuation with suitable examples.
Compare LIFO and FIFO method of inventory valuation.
Write a note on inventory valuation through LIFO Method.
State the salient features of AS-2 (Revised) regarding inventory valuation.

Showing 1300 - 1400 of 2021

First
7
8
9
10
11
12
13
14
15
16
17
18
19
20
21

Services

Sitemap
Fun
Definitions
Become Tutor
Study Help Categories
Recent Questions
Expert Questions

Company Info

Security
Copyrights
Privacy Policy
Terms & Conditions
SolutionInn Fee
Scholarship

Get In Touch

About Us
Contact Us
Career
Jobs
FAQ
Campus Ambassador

Secure Payment

Download Our App

© 2024 SolutionInn. All Rights Reserved