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For the fiscal year ending 30-06-2021, the financial details of RST Corp. are as follows: Current Assets: Cash: $1,90,000 Sundry debtors: $4,80,000 Short term investment:

For the fiscal year ending 30-06-2021, the financial details of RST Corp. are as follows:

Current Assets:

  • Cash: $1,90,000
  • Sundry debtors: $4,80,000
  • Short term investment: $3,30,000
  • Stock: $20,00,000
  • Prepaid expenses: $40,000

Current Liabilities and Equity:

  • Current liabilities: $9,50,000
  • 8% Debentures: $17,00,000
  • Equity share capital: $23,00,000
  • Retained earnings: $9,50,000

Profit & Loss Statement:

  • Sales (30% cash sales): $75,00,000
  • Less: Cost of goods sold: $52,00,000
  • Profit before interest & tax: $23,00,000
  • Less: Interest: $2,90,000
  • Profit before tax: $20,10,000
  • Less: Tax @28%: $5,63,000

Net Profit: $14,47,000

Calculate: (i) Quick ratio, (ii) Fixed charge coverage ratio, (iii) Return on net worth, and (iv) Receivables turnover ratio.

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