[DK Goel] Q. 53,54,55,56 Accounting Ratios Solutions Class 12 CBSE (2026-27)

the solutions of Question number 53, 54, 55, 56 of Accounting Ratios chapter 5 of DK Goel Class 12 CBSE (2026-27)

Q. 53. Calculate Debt to Capital Employed Ratio from the following particulars:

Property, Plant and Equipment	8,00,000
Goodwill	1,00,000
Computer Software	60,000
Current Assets	6,20,000
Inventory	3,00,000
Total Debt	6,50,000
9% Long-term Debt	5,70,000

[Ans. Debt to Capital Employed Ratio = 0.38 : 1]

Solution:-

Q. 54. Debt to Capital Employed Ratio is 0.25 : 1. State whether the following transactions will improve, decline or will not change the Debt to Capital Employed Ratio. Also give reasons for the same.

(i) Purchase of Plant & Machinery on a credit of 6 months.

(ii) Sale of Land of Book Value of ₹ 20,00,000 for ₹ 30,00,000.

(iii) Repayment of half of 10% Bank Loan.

(iv) Issue of ₹ 8,00,000, 7% Debentures at a discount of 6%, redeemable at 4% premium.

(v) Issue of Equity Shares of ₹ 10,00,000 to Vendors for purchase of machinery.

(vi) Dividend proposed by directors of the company for the current year.

(vii) Declaration of dividend by the shareholders of the company.

(viii) Redemption of Debentures maturing during the year.

[Ans. (i) Not Change, (ii) Decline, (iii) Decline, (iv) Improve, (v) Decline, (vi) Not Change, (vii) Improve, (viii) Not Change

Solution:-

Q. 55. Calculate Inventory Turnover Ratio from the following:-

	₹
Purchases	3,46,000
Returns Outwards	10,000
Carriage Inwards	15,000
Carriage Outwards	20,000
Wages	25,000
Salaries	40,000
Rent	36,000
Opening Inventory	72,000
Closing Inventory	88,000

[Ans. Inventory Turnover Ratio 4.5 times]

Solution:-

Q. 56. From the following data, calculate ‘Inventory Turnover Ratio’ when gross profit ratio is given 20%:

	₹
Cash Sales	1,50,000
Credit Sales	2,50,000
Return Inward	25,000
Opening Inventory	25,000
Closing Inventory	35,000

[Ans. 10 Times]

Solution:-