Question 91 Chapter 4 of +2-B
Table of Contents
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) | 3,75,000 | Current Assets | 4,25,000 |
| Cost of goods sold (i.e. Cost of Revenue from Operation) | 2,50,000 | Equity Share Capital | 1,90,000 |
| Current liabilities | 1,20,000 | Debentures | 75,000 |
| Loan | 60,000 |
The solution of Question 91 Chapter 4 of +2-B: –
| (a) Gross Profit Ratio | = | Gross Profit | X | 100 |
| Net Sales | ||||
| = | ||||
| = | ₹ 1,25,000 | X | 100 | |
| ₹ 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 | ||
| = | ||
| = | ₹ 375000 | |
| ₹ 3,05,000 | ||
| = | 1.23 times |
or
| (c) Working Capital Turnover Ratio | = | Cost of goods sold |
| Working Capital | ||
| = | ||
| = | ₹ 2,50,000 | |
| ₹ 3,05,000 | ||
| = | 0.81times |
| 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
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
- Chapter No. 4 – Partnership Accounts – III (Reconstitution of Partnership)
- Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
- Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
- Chapter No. 8 – Company Accounts (Share Capital)
- Chapter No. 9 – Company Accounts (Issue of Debentures)
- Chapter No. 10 – Company Accounts (Redemption of Debentures)
Usha Publication – Accountancy PSEB (Class 12) – Volume II – Solution
- Chapter No. 1 – Financial Statements of a Company
- Chapter No. 2 – Financial Statement Analysis
- Chapter No. 3 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 4 – Ratio Analysis
- Chapter No. 5 – Cash Flow Statement
Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication
