Question

Question

Answer 1

​$\mathrm{Current}\mathrm{Ratio}=\frac{\mathrm{Current}\mathrm{Assets}}{\mathrm{Current}\mathrm{Liabilities}}$

Current Assets	=	Debtors + Prepaid Expenses + Cash + Marketable Securities + Inventory
	=	2, 00,000 + 20,000 + 60,000 + 40,000 + 80,000
	=	Rs 4, 00,000

​Current Liabilities	=	Bills Payables + Creditors + Expenses Payables
	=	40,000 + 80,000 + 80,000
	=	Rs 2, 00,000

$\mathrm{Current}\mathrm{Ratio}=\frac{\mathrm{Current}\mathrm{Assets}}{\mathrm{Current}\mathrm{Liabilities}}=2:1$