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Accounting Ratios 3.37
II. ASSETS
1. Non-Current Assets
Property, Plant and Equipment and Intangible Assets:
(i) Property, Plant and Equipment 60,00,000
(ii) Intangible Assets 12,00,000
2. Current Assets
(a) Inventories 20,00,000
(b) Cash and Cash Equivalents 8,00,000
Total 1,00,00,000

Solution:

COMMON-SIZE BALANCE SHEET
as at 31st March, 2024

Particulars Note No. Absolute % of Balance
Amount (`) Sheet Total

I. EQUITY AND LIABILITIES
1. Shareholders’ Funds
(a) Share Capital 60,00,000 60
(b) Reserves and Surplus 8,00,000 8
2. Non-Current Liabilities
Long-term Borrowings 20,00,000 20
3. Current Liabilities
Short-term Borrowings 12,00,000 12
Total 1,00,00,000 100
II. ASSETS
1. Non-Current Assets
Property, Plant and Equipment and Intangible Assets:
(i) Property, Plant and Equipment 60,00,000 60
(ii) Intangible Assets 12,00,000 12
2. Current Assets
(a) Inventories 20,00,000 20
(b) Cash and Cash Equivalents 8,00,000 8
Total 1,00,00,000 100

Shareholders’ Funds
Proprietary Ratio =
Total Assets
` 68,00,000
= = 0.68 : 1.
` 1,00,00,000

Shareholders’ Funds = Share Capital + Reserves and Surplus
= ` 60,00,000 + ` 8,00,000 = ` 68,00,000.