Question

Following particulars are related to X Ltd.

Particulars	₹
Inventory	1,20,000
Trade Receivables	70,000
Goodwill	1,10,000
Cash and Cash Equivalents	30,000
Current Liabilities (including Outstanding Expenses ₹ 10,000)	1,10,000

Current Ratio will be:

विकल्प

• 2.2 : 1

• 3 : 1

• 2 : 1

• 3.3 : 1

Answer 1

2 : 1

Explanation:

Current Ratio = `"Current Assets"/"Current Liabilities"`

Current Assets = Inventory + Trade Receivables + Cash and Cash Equivalents

= 1,20,000 + 70,000 + 30,000

= ₹ 2,20,000

Current Liabilities = ₹ 1,10,000

Current Ratio = `(2,20,000)/(1,10,000)`

= 2 : 1