Illustration 51 The following is the Balance Sheet of Prosperous Ltd as on 31st March, 2018 : Balance Sheet of Prosperous Ltd. as at 31st March, 2018 Amount Note No. (2) (3) (1) Particulars (1) 1. EQUITY AND LIABILITIES (1) Shareholders' Funds: (a) Share Capital (b) Reserves and Surplus - General Reserve Profit and Loss (2) Share Application Money Pending Allotment: (3) Non-current Liabilities: (a) Long-term Borrowings - 12% Debentures 70,00,000 5,00,000 1,50.000 20,00,000 e39 il nu (4) Current Liabilities: (a) Trade Payables - Trade Creditors 6,00,000 (b) Short-term Provisions Provision for Taxation 2,00,000 Proposed Dividend 3,00,000 (c) Other Current Liabilities - Outstanding Expenses 1,50.000 TOTAL 1,09,00,000 II. ASSETS (1) Non-current Assets : (a) Fixed Assets Tangible Assets Land 5,00,000 Building 30,00,000 Plant and Machinery 30,00,000 Furniture 4,00,000 (2) Current Assets : (a) Inventories 15,00,000 (b) Trade Receivables - Debtors 20,00,000 (c) Cash and Cash Equivalents - Cash 4,00,000 (d) Other Current Assets - Prepaid Expenses 1,00,000 TOTAL 1,09,00.000 Notes to Accounts: (1) Share Capital Particulars ) Issued, Subscribed and Paid-up Capital 3,00,000 Equity Shares of 10 each fully paid 30,00,000 4,00,000 Preference Shares of 10 each fully paid 40,00,000 70,00,000 From the above particulars, you are required to calculate : 0) Current Ratio: (ii) Debt-Equity Ratio; (iii) Capital Gearing Ratio; (iv) Liquid Ratio. Delhi University, B.Com. (Hons.) - Adapted