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Deesha Ltd presents to you the following Balance Sheet as on 31 March,2024.
Balance Sheet as on 31.03.2024
Liabilities Rs. Assets Rs.
Equity Share Capital 5,00,000 Land and Building 4,80,000
14% Preference Share Capital 1,00,000 Plant and Machinery 4,55,000
Reserve Fund 4,00,000 Investment 3,00,000
Profit and Loss Account 2,00,000 Stock 1,50,000
14% Bond 2,00,000 Debtors 2,35,000
Sundry Creditors 3,00,000 Bank 70,000
Bank Overdraft 50,000 Preliminary Expenses 60,000
Total 17,50,00 Total 17,50,000
0
You are required to calculate the following
i. Current Ratio
ii. Quick Ratio
iii. Proprietary Ratio
iv. Debt Equity Ratio
v. Stock Working Capital Ratio
vi. Capital Gearing Ratio[12 Marks]
Deesha Ltd 12 Marks
Deesha Ltd 12 Marks
Q. 12 Marks
4.C
1 Current Ratio Working
CA 150000+235000+70000 455000 1.3
CL 300000+50000 350000
2 Quick Ratio
CA-Stock 455000-60000 305000 1.017
CL-Bank Overdraft 350000-50000
300000
3 Capital Gearing
Ratio
Pref+ Debt 300000 0.288
100000+200000_____
Eq +R&s-Misc 104000
500000+400000+200000-60 0
000
4 Proprietary Ratio
Shareholders 114000 67.46
fundsX100 500000+100000+400000+2 0 %
00000-60000X100
Total Assets 169000
1750000-60000 0
5 Debt Equity Ratio
Debt 200000 0.18
Equity 1140000
6 Stock Working Capital Ratio
Closing Stock X100 150000 X 100 142.86
%
Working Capital 105000