Question
Calculate the following ratios from the balance sheet given below: i. Debt Equity Ratio ii. Quick Ratio iii. Fixed Assets to Current Assets iv.
Calculate the following ratios from the balance sheet given below: i. Debt Equity Ratio ii. Quick Ratio iii. Fixed Assets to Current Assets iv. Fixed Assets Turnover Balance Sheet Liabilities $ Assets Equity shares of $10 each 1,00,000 Goodwill 60,000 Reserves 20,000 Fixed Assets 140,000 P.L. A/C 30,000 Stock 30,000 Secured loan 80,000 Sundry Debtors 30,000 Sundry creditors 50,000 Advances 10,000 Provision for taxation 20,000 Cash Balance 10,000 300,000 300,000 The sales for the year were $5,60,000.
Step by Step Solution
3.47 Rating (150 Votes )
There are 3 Steps involved in it
Step: 1
To calculate the requested ratios we first need to determine certain values from the balance sheet p...Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get StartedRecommended Textbook for
Fundamental Managerial Accounting Concepts
Authors: Thomas Edmonds, Christopher Edmonds, Bor Yi Tsay, Philip Olds
8th edition
978-1259569197
Students also viewed these Finance questions
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
Question
Answered: 1 week ago
View Answer in SolutionInn App