Question 31 Chapter 4 of +2-B - T.S. Grewal 12 Class

 

Question 31 Chapter 4 of +2-B

31. Following is the Balance Sheet of Crescent Chemical Works Limited as at 31st March 2019

Particulars	Note No.	Amount
I. Equity and Liabilities
1. Shareholders’ Funds
(a) Share Capital		70,000
(b) Reserves and Surplus		35,000
3. Non-Current Liabilities
(a) Long-term borrowings		25,000
4. Current Liabilities
(a) Short-term Borrowings		3,000
(b) Trade Payables		13,000
(d) Short-term Provision		4,000
Total		1,50,000
II. Assets
1.Non-Current Assets
(a) Fixed Assets:		45,000
(b) Non-Current Investment		5,000
2. Current Assets
(b)Inventories		3,000
(c) Trade receivable		13,000
(d) Cash and Cash equivalents		4,000
Total		1,50,000

The solution of Question 31 Chapter 4 of +2-B: -

Current Assets	=	Inventory + Trade Receivables + Cash and Cash Equivalents
	=	Rs.50,000 + Rs.30,000 + Rs.20,000
Current Assets	=	Rs. 1,00,000
Current Liabilities	=	Short-term Borrowings + Trade Payables + Provision for Tax
	=	Rs.3,000 + Rs.13,000 + Rs.4,000
Current Liabilities	=	Rs. 20,000
Liquid Assets	=	Trade Receivables + Cash and Cash Equivalents
	=	Rs.30,000 + Rs.20,000
Liquid Assets	=	Rs. 50,000

 

Current Ratio	=	Current Assets	=	Rs.1,00,000
		Current Liabilities		Rs.20,000
	=	5: 1

 

Liquid Ratio	=	Liquid Assets	=	Rs.50,000
		Current Liabilities		Rs.20,000
	=	2.5: 1

 

 

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Also, Check out the solved question of previous Chapters: -

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

• Chapter No. 1 - Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 - Accounting for Partnership Firms - Fundamentals
• Chapter No. 3 - Goodwill: Nature and Valuation
• Chapter No. 4 - Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 - Admission of a Partner
• Chapter No. 6 - Retirement/Death of a Partner
• Chapter No. 7 - Dissolution of a Partnership Firm

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 8 - Company Accounts -  Accounting for Share Capital
• Chapter No. 9 - Company Accounts - Issue of Debentures
• Chapter No. 10 - Redemption of Debentures

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 1 - Financial Statements of a Company
• Chapter No. 2 - Financial Statement Analysis 
• Chapter No. 3 - Tools of Financial Statement Analysis - Comparative Statements and Common- Size Statements
• Chapter No. 4 - Accounting Ratios
• Chapter No. 5 - Cash Flow Statement

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication