34 :- Total Assets Rs 11,00,000; Fixed Assets Rs 5,00,000; Capital Employed Rs 10,00,000. There were no Long – term investments. Calculate Current Ratio.
Solution :-
Total Assets = Non – Current Assets + Non – current Investment + Current Assets
11,00,000 = 5,00,000 + 0 + Current Assets
Current Assets = Rs 6,00,000
Total Assets = Capital Employed + Current Liabilities
11,00,000 = 10,00,000 + Current Liabilities
Current Liabilities = Rs 1,00,000
Current Ratio = Current Assets/Current Liabilities
= 6,00,000/1,00,000
= 6 : 1