Q. 27 DK Goel Accounting Ratios Solutions Class 12 CBSE (2024-25)
the solutions of Question number 27 of Accounting Ratios chapter 5 of DK Goel Class 12 CBSE (2024-25)
Balance Sheet of X Ltd. shows the following information as at 31st March, 2023:
| ₹ | ₹ | ||
| Share Capital | 10,00,000 | Current Assets | 16,00,000 |
| Reserve and Surplus | 15,00,000 | Current Liabilities | 10,00,000 |
| General Reserve | 5,00,000 | Non-Current Investments | 4,00,000 |
| Long term Loan @ 10% | 40,00,000 | Property, Plant and Equipment – Cost | 80,00,000 |
| Public Deposits | 10,00,000 | Depreciation Written off | 15,00,000 |
Calculate ratios indicating the Long-term and Short-term Financing position of the company.
[Ans. (i) Debt Equity Ratio = 2 : 1; (ii) Current Ratio = 1.6 : 1]
Hint:- General Reserve will be ignored since it is already included in Reserve and Surplus.
Solution:-
