172 :- Calculate ‘Quick Ratio’ and ‘Debt-Equity Ratio’ from the following information :
Solution :-
Current Liabilities = Total Debts – Long – term debts
= 8,00,000 – 6,00,000
= Rs 2,00,000
Current Assets = Working Capital + Current Liabilities
= 2,40,000 + 2,00,000
= Rs 4,40,000
Quick Assets = Current Assets – Inventory
= 4,40,000 – 2,20,000
= Rs 2,20,000
Quick Ratio = Quick Assets/Current Liabilities
= 2,20,000/2,00,000
= 1.1 : 1
Debt – Equity Ratio = Debt/Equity
= 6,00,000/12,00,000
= 0.5 : 1