Question
Refer the following summarized Balance Sheet of Roy Ltd.
as on 31‐3‐2023: Additional Information: Operating expenses for the year 2023 amounted to Rs. 15,50,000. Consider 365 days in a year. Calculate Cash ratio from the above information:Solution
Cash & Bank Balance + Marketable Securities / Current Liabilities = 2,40,000 / 4,00,000 = 0.60 Cash & Bank Balance + Marketable Securities: = 40,000 (Cash at Bank) + 50,000 (Cash in Hand) + 1,50,000 (Marketable securities) = 2,40,000 Current Liabilities = Trade Payables + Bank Overdraft = 1,60,000 + 2,40,000 = 4,00,000
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The homework must be done by you.