221
Particulars 2009 2010 Absolute % of
Rs. Rs. Change Rs. Increase
or Decrease
Sales 10,00,000 12,50,000 2,50,000 25 1 mark
Lass :Cost of Goods Sold5,00,000 6,50,000 1,50,000 30
Gross Profit 5,00,000 6,00,000 1,00,000 20 1 mark
Less :Operating Expenses50,000 60,000 10,000 20
Net Profit before tax4,50,000 5,40,000 90,000 20 1 mark
Less: Income Tax 2,25,000 2,70,000 45,000 20 1 mark=
Net Profit Alter tax2,25,000 2,70,000 45,000 20 4 marks
22. On the basis…….……………………………...……… closing stock 1,00,000
Ans. i)Debt Equity ratio = Debt / Equity = 4,00,000 / 8,00,000 = 0.5 : 1
Debt = 6% Debentures + 9% Loan = Rs. 3,00,000 + Rs.1,00,000
=Rs. 4,00,000
Equity = Paid up Share Capital + Debenture Redemption Reserve
= Rs.6,00,000 +Rs. 2,00,000 = Rs.8,00,000
ii) Working Capital Turnover Ratio = Cost of goods sold / Working Capital
OR Net Sales / Working Capital
= 45,00,000 / 8,00,000 or 60,00,000 / 8,00,000
= 5.63 times or 7.5 times
Working capital = Other Current Assets + Closing Stock - Current Liabilities
= Rs. 11,00,000 + Rs.1,00,000 – Rs.4,00,000
= Rs. 8,00,000
½ mark
formula
+ ½
mark
compo
nents +
1 mark
compu
tation of
ratio
= 2
½ mark
formula
+ ½
mark
compo
nents +
1 mark
compu
tation of
ratio
= 2 = 4
marks
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