मराठी

‘Net Asset Turnover ratio’ of a company is 2 times. State with reason whether the following transaction will increase, decrease or not affect the ratio: Issue of equity shares ₹ 10,00,000

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प्रश्न

‘Net Asset Turnover ratio’ of a company is 2 times. State with reason whether the following transaction will increase, decrease or not affect the ratio:

Issue of equity shares ₹ 10,00,000

अति संक्षिप्त उत्तर
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उत्तर

Decrease

Reason:

The issue of shares increases net assets/shareholders’ funds, but sales remain unchanged. Hence, the ratio decreases.

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