DK Goel Solutions for Class 12 Accountancy Vol 2 Chapter 5 Accounting Ratios

DK Goel Accountancy Class 12 Solutions Vol 2 Chapter 5 Accounting Ratios is a chapter from the new edition of DK Goel Accountancy Class 12 textbook solutions that is outlined by expert Accountancy teachers. MNS EdTech offers DK Goel Solutions to help students understand all of the theories in particular. Learn more about accounting principles, however, the concepts of Admission of a partner, Accounting Ratios and Cash Flow Statement is required.

DK Goel Solutions Class 12 – Chapter 5 – Part B

Question 1

From the following, compute the current ratio.

	₹
Non-Current Investments	1,00,000
Current Investments	40,000
Inventories (including loose tools of ₹ 50,000/-)	2,80,000
Trade Receivables:
Sundry Debtors	1,60,000
Bills Receivables	20,000
Trade Payables:
Sundry Creditors	1,20,000
Bills Payables	10,000
Long-term Borrowings	2,00,000
Short-term Borrowings	50,000
Short-term Provision (Provision for Tax)	20,000
Cash and Bank Balance	30,000

Solution:

Question 2

Following particulars are given to you:

		₹
Trade Investmests		2,50,000
Marketeable Secuities		40,000
Tangible Fixed Assets		6,00,000
Intangible Assets (Goodwill)		1,00,000
Trade Receivables	2,00,000	1,80,000
Less: Provision for Doubtful Debts	20,000
Cash and Bank Balance		80,000
Trade Payables		1,20,000
Rent Payables		10,000
Dividend Payable		30,000
Inventories		3,90,000
Long term Borrowings (8% Debentures)		2,80,000
Short term Borrowings (Bank Overdraft)		25,000
Short term Provisions:
Provisions for Tax		55,000
Income Tax paid in Advance		30,000

Calculate the Liquidity Ratios.

Related Links

DK Goel Accountancy Solutions Class 12 – Part B (Chapter wise)
Chapter 2 Financial Statements Analysis	Chapter 3 Tools for Financial Analysis: Comparative Statements
Chapter 4 Common Size Statements	Chapter 5 Accounting Ratios
Chapter 6 Cash Flow Statement (As per AS – 3 Revised)	Chapter 1 Financial Statements of Companies