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Question 56 Chapter 4 of +2-B – T.S. Grewal 12 Class

Question 56 Chapter 4 of +2-B
Question No. 56- Chapter No.4 - T.S. Grewal +2 Book Part B

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Question 56 Chapter 4 of +2-B

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Proprietary Ratio

56. From the following information, calculate Proprietary Ratio:

Balance Sheet of Fortune Ltd. As at 31st March 2019
ParticularsNote No.Rs.
I. Equity and Liabilities   
1. Shareholders’ Funds  
(a) Share Capital 6,00,000
(b) Reserves and Surplus 1,50,000
2. Current Liabilities  
(a) Short-term Borrowings 1,00,000
(b) Other Current Liabilities  50,000
(c) Short-term Provisions (provision for Tax) 1,00,000
Total 10,00,000
II. Assets  
1. Non-Current Assets   
Fixed Assets (Tangible Assets) 5,00,000
2. Current Assets  
(a) Current Investments 1,50,000
(b) Inventories  1,00,000
(c) Trade Receivables  1,50,000
Total 10,00,000

 

The solution of Question 56 Chapter 4 of +2-B: –

Shareholders’ Funds=Share Capital + Reserves and Surplus
 =Rs. 6,00,000 + Rs. 1,50,000
Shareholders’ Funds=Rs. 7,50,000
Total Assets= Non-Current Assets + Current Assets (Short-term Investments + Inventories + Trade Receivables + Cash and Cash Equivalents)
 =Rs. 5,00,000 + (Rs.1,50,000 + Rs.1,00,000 + Rs.1,50,000 + Rs.1,00,000)
Total Assets=Rs. 10,00,000



Total Assets to Debt RatioTotal Assets=Rs.7,50,000
Total AssetsRs.10,00,000
 =0.75: 1  

 

Total Assets to Debt RatioTotal AssetsX 100 
Total Assets 
Total Assets to Debt RatioRs. 7,50,000X 100
Rs. 10,00,000
 =75% 

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Balance Sheet: Meaning, Format & Examples

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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)

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

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

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

Question 1 Chapter 1 of +2-B
T.S. Grewal’s Analysis of Financial Statements

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