Question
A company shows Current Assets ₹150 crore and Current Liabilities ₹90 crore. Audit reveals obsolete stock ₹20 crore and doubtful debtors ₹10 crore. What is the Adjusted Current Ratio?
Solution
Adjusted CA = 150 – 20 – 10 = 120 CR = 120 / 90 = 1.33 ≈ 1.30 (policy rounding)
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