Question 91 Chapter 4 of +2-B

Question 91 Chapter 4 of +2-B

Miscellaneous (Analytical Questions)

91. (GP Ratio/Debt Equity Ratio/WC T/O Ratio) Calculate (a) Gross Profit Ratio (b) Debt Equity Ratio (c) Working capital Turnover ratio
from the following information

  
Net Sales (Revenue from Operation) 3,75,000Current Assets4,25,000
Cost of goods sold (i.e. Cost of Revenue from Operation)2,50,000 Equity Share Capital1,90,000
Current liabilities1,20,000Debentures75,000
Loan 60,000  

 

The solution of Question 91 Chapter 4 of +2-B: – 

 

(a) Gross Profit Ratio=Gross ProfitX100
Net Sales
 =   
 =₹ 1,25,000X100
 ₹ 3,75,000
 =33.33%  

 

(b) Debt Equity Ratio=Debt
Equity
 = 
 =₹ 1,35,000
 ₹ 1,90,000
 =0.71 : 1
(c) Working Capital Turnover Ratio=Net Sales
Working Capital
 = 
 =₹ 2,50,000
 ₹ 3,05,000
 =1.23 times

or

(c) Working Capital Turnover Ratio=Cost of goods sold
Working Capital
 = 
 =₹ 2,50,000
 ₹ 3,05,000
 =0.18 times

 

Gross Profit=Net Sales – Cost of goods sold
 =₹ 3,75,000 – ₹ 2,50,000
 =₹ 1,25,000
Debt=Loan + Debentures
 =₹ 60,000 + ₹ 75,000
 =₹ 1,35,000
Working Capital=Current Assets – Current Liabilities
 =₹ 4,25,000 – ₹ 1,20,000
 =₹ 3,05,000

 

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

Usha Publication – Accountancy PSEB (Class 12) – Volume I – Solution

Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution

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

2 Book 3 min 225x300 - Question 91 Chapter 4 of +2-B  - USHA Publication  12 Class
T.S. Grewal’s Analysis of Financial Statements

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