📢 Too many exams? Don’t know which one suits you best? Book Your Free Expert 👉 call Now!


    âš¡ Azaadi sale - Celebrate Independence Day with Flat 55% Off On all courses! 13 to 17 Aug âš¡ Enroll Now

    Question

    Champion Ltd. define following data for calculating

    Current Ratio: Current Assets Rs.20,00,000 , Inventories Rs.10,00,000 , Working Capital Rs.12, 00,000.
    A 3.5 : 1 Correct Answer Incorrect Answer
    B 2.5 : 1 Correct Answer Incorrect Answer
    C 1 : 1 Correct Answer Incorrect Answer
    D 1 : 2 Correct Answer Incorrect Answer
    E 1 : 3 Correct Answer Incorrect Answer

    Solution

    Working capital = Current asset – Current Liability 1200000 = 20,00,000- current liability CL = 800000 CR = 2000000/800000 = 2.5 times

    Practice Next
    ask-question

    Not sure which exam is best for you Talk to our expert

    Get My Free Call