Solved Liquidity Ratios 1 Current Ratio 2 Net Working Chegg
Solved Liquidity Ratios 1 Current Ratio 2 Net Working Chegg I) liquidity ratios: current ratio (working capital ratio) quick ratio (liquid ratio acid test ratio) ii) solvency ratios: debt to equity ratio total assets to debt ratio iii) profitability ratios: gross profit ratio net profit ratio evaluate and interpret the overall financial performance of the company based on the above ratio calculations. Study with quizlet and memorize flashcards containing terms like liquidity ratios (short term solvency), short term solvency, current ratio and quick ratio( acid test ratio) and more.
Solved Liquidity Ratios 1 Current Ratio 2 Net Working Chegg
Solved Liquidity Ratios 1 Current Ratio 2 Net Working Chegg 6. working capital turnover = turnover working capital working capital = current assets – current liabilities = 8,00,000 7,60,000 – 6,00,000 15,60,000 – 6,00,000= 9,60,000 working capital turnover ratio = 19,20,000 = 2 times. problem 2. perfect ltd. gives the following balance sheet. you are required to compute ratios. Part a: ratio calculations (64 marks) i. liquidity ratios 1. working capital formula: working capital = current assets current liabilities arrow has better short term liquidity. A current ratio of 3.00 indicates that the company has three times more current assets than current liabilities, suggesting a high level of liquidity and ability to meet short term obligations. The ratios are also used in comparing to the previous periods to analyze the company’s condition over time; whether it is improving or getting worse. the ratios calculation includes various types of balance items, such as cash, inventory, receivables, liabilities, and equity, etc.
Solved I Liquidity Ratios Current Ratio Working Chegg
Solved I Liquidity Ratios Current Ratio Working Chegg A current ratio of 3.00 indicates that the company has three times more current assets than current liabilities, suggesting a high level of liquidity and ability to meet short term obligations. The ratios are also used in comparing to the previous periods to analyze the company’s condition over time; whether it is improving or getting worse. the ratios calculation includes various types of balance items, such as cash, inventory, receivables, liabilities, and equity, etc. Question: liquidity ratios 1. current ratio 2. net working capital efficiency and working capital ratios 3. accounts receivable days 4. total asset turnover leverage ratios 5. total debt to assets ratio 6. total debt to equity ratio profitability ratios and operating returns 7. net profit margin 8. return on assets (roa) 9. Required: (a) find the liquidity ratios for the above companies (b) evaluate the performance of the companies on relative basis q5: calculate the amount of current assets and current liabilities. current ratio 2.5 and working capital rs.60,000.
Solved I Liquidity Ratios Current Ratio Working Chegg
Solved I Liquidity Ratios Current Ratio Working Chegg Question: liquidity ratios 1. current ratio 2. net working capital efficiency and working capital ratios 3. accounts receivable days 4. total asset turnover leverage ratios 5. total debt to assets ratio 6. total debt to equity ratio profitability ratios and operating returns 7. net profit margin 8. return on assets (roa) 9. Required: (a) find the liquidity ratios for the above companies (b) evaluate the performance of the companies on relative basis q5: calculate the amount of current assets and current liabilities. current ratio 2.5 and working capital rs.60,000.