Page 94 - MA12

Ratio Analysis 4.39
II. ASSETS
1. Non-Current Assets
Fixed Assets—Tangible 6,00,000
2. Current Assets
(a) Inventory 2,50,000
(b) Trade Receivables 1,50,000
(c) Cash and Bank Balances 90,000
(d) Other Current Assets 10,000
Total 11,00,000

GUIDE TO ANSWERS

1. 1.5 : 1.
2. 7.2 Times.

3. 0.2 : 1.
4. (a) Current Ratio—2 : 1; (b) Operating Ratio—50%.
5. (i) Current Ratio—1 : 1; (ii) Liquid Ratio—0.47 : 1.
6. 6 Times.
7. (i) Debt to Equity Ratio—1 : 4; (ii) Proprietary Ratio—66.67%; (iii) Debt to Total Assets Ratio—0.17 : 1.
8. (i) 0.83 : 1; (ii) 0.5 : 1; (iii) 1.83 : 1; (iv) 14%.
9. (i) 2.42 : 1; (ii) 1 : 1; (iii) 3 Times.
10. 0.18 : 1.