4 :- Working Capital Rs 6,00,000, Total Debt Rs 27,00,000, Non – Current Liabilities Rs 24,00,000. Calculate Current Ratio.
Solution :-
Total Debt = Non – Current Liabilities + Current Liabilities
27,00,000 = 24,00,000 + Current Liabilities
Current Liabilities = 27,00,000 – 24,00,000
= Rs 3,00,000
Working Capital = Current Assets – Current Liabilities
6,00,000 = Current Assets – 3,00,000
Current Assets = 6,00,000 + 3,00,000
= Rs 9,00,000
Current Ratio = Current Assets/Current Liabilities
= 9,00,000/3,00,000
= 3 : 1