Particulars Current assets: Cash in hand and at bank Stock of raw material Stock of Finished products and process stock Stock of Store and spares Debtors Fixed assets Total Current liabilities Debenture secured Unsecured Loans-Banks Reserve and surplus Profit and loss a/c before providing for taxation and dividends Equity shares Rs. 100 each 10% Preference shares Rs. 100 each Total 31.03.16 31.03.17 5.00 12.00 30.00 3.00 40.00 90.00 180.00 20.00 60.00 15.00 30.00 15.00 20.00 20.00 180.00 300.00 15% 10.00 18.00 35.00 4.00 50.00 110.00 Current ratio Debtors turnover ratio (Assume 75% of the sales is on credit) Debt Equity Ratio (Assume unsecured loan is for long term). Ratio of fixed assets to shareholders' funds 227.00 32.00 60.00 40.00 32.50 22.50 20.00 20.00 227.00 360.00 18% 31.03.18 20.00 20.00 25.00 5.00 50.00 120.00 240.00 30.00 60.00 45.00 38.75 26.25 20.00 20.00 240.00 Sales Gross profit The company earned the net profit before providing for income tax at 50 paise per rupee. Equity shareholders to get dividends 50% more than preference shareholders. Calculate the following ratios and comments thereon 400.00 20%

Fundamentals Of Financial Management, Concise Edition (mindtap Course List)
10th Edition
ISBN:9781337902571
Author:Eugene F. Brigham, Joel F. Houston
Publisher:Eugene F. Brigham, Joel F. Houston
Chapter3: Financial Statements, Cash Flow, And Taxes
Section: Chapter Questions
Problem 19SP
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i.
ii.
iii.
iv.
March 2018.
Particulars
Current assets:
Cash in hand and at bank
Stock of raw material
Stock of Finished products and process stock
Stock of Store and spares
Debtors
Fixed assets
Total
Current liabilities
Debenture secured
Unsecured Loans-Banks
Reserve and surplus
Profit and loss a/c before providing for
taxation and dividends
Equity shares Rs. 100 each
10% Preference shares Rs. 100 each
Total
31.03.16
Sales
Gross profit
5.00
12.00
30.00
3.00
40.00
90.00
180.00
20.00
60.00
15.00
30.00
15.00
20.00
20.00
180.00
(Rupees in lakis
31.03.17
Current ratio
Debtors turnover ratio (Assume 75% of the sales is on credit)
Debt Equity Ratio (Assume unsecured loan is for long term).
Ratio of fixed assets to shareholders' funds
10.00
18.00
35.00
4.00
50.00
110.00
227.00
32.00
60.00
40.00
32.50
22.50
20.00
20.00
227.00
31.03.18
20.00
20.00
25.00
5.00
50.00
120.00
240.00
30.00
60.00
45.00
38.75
26.25
20.00
20.00
240.00
300.00
360.00
15%
18%
The company earned the net profit before providing for income tax at 50 paise
per rupee. Equity shareholders to get dividends 50% more than preference
shareholders. Calculate the following ratios and comments thereon
400.00
20%
Transcribed Image Text:i. ii. iii. iv. March 2018. Particulars Current assets: Cash in hand and at bank Stock of raw material Stock of Finished products and process stock Stock of Store and spares Debtors Fixed assets Total Current liabilities Debenture secured Unsecured Loans-Banks Reserve and surplus Profit and loss a/c before providing for taxation and dividends Equity shares Rs. 100 each 10% Preference shares Rs. 100 each Total 31.03.16 Sales Gross profit 5.00 12.00 30.00 3.00 40.00 90.00 180.00 20.00 60.00 15.00 30.00 15.00 20.00 20.00 180.00 (Rupees in lakis 31.03.17 Current ratio Debtors turnover ratio (Assume 75% of the sales is on credit) Debt Equity Ratio (Assume unsecured loan is for long term). Ratio of fixed assets to shareholders' funds 10.00 18.00 35.00 4.00 50.00 110.00 227.00 32.00 60.00 40.00 32.50 22.50 20.00 20.00 227.00 31.03.18 20.00 20.00 25.00 5.00 50.00 120.00 240.00 30.00 60.00 45.00 38.75 26.25 20.00 20.00 240.00 300.00 360.00 15% 18% The company earned the net profit before providing for income tax at 50 paise per rupee. Equity shareholders to get dividends 50% more than preference shareholders. Calculate the following ratios and comments thereon 400.00 20%
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