From the following Balance Sheet of Arth Ltd. Calculate. 7. (a) Debt equity ratio (b) Fixed assets to current assets. Balance Sheet Liabilities Rs. Assets Rs. Equity share capital 2,00,000 Goodwill 1,20,000 Reserve 40,000 Fixed assets 2,80,000 P & L a/c 60,000 Stock 60,000 Secured loan 1,60,000 Debtors 60,000 Creditors 1,00,000 Advances 20,000 Provision for taxation 40,000 Bank 60,000 6,00,000 6,00,000

From the following Balance Sheet of Arth Ltd. Calculate. 7. (a) Debt equity ratio (b) Fixed assets to current assets. Balance Sheet Liabilities Rs. Assets Rs. Equity share capital 2,00,000 Goodwill 1,20,000 Reserve 40,000 Fixed assets 2,80,000 P & L a/c 60,000 Stock 60,000 Secured loan 1,60,000 Debtors 60,000 Creditors 1,00,000 Advances 20,000 Provision for taxation 40,000 Bank 60,000 6,00,000 6,00,000

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter16: Financial Statement Analysis

Section: Chapter Questions

Problem 6BE

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