working capital turnover ratio class 12

Average Trade Receivables 9 00000. If share capital Rs.

Working Capital Turnover Ratio Meaning Formula Calculation

140000 90000 - 105000 125000.

. Putting the values in the formula of working capital turnover ratio we get. Read below DK Goel Solutions for Class 12 Chapter 5 Accounting RatiosThese solutions have been designed based on the latest Class 12 DK Goel Accountancy book used by commerce stream students issued for the current year and the questions given in each chapter. This concludes our article on the topic of Working Capital Turnover Ratio which is an important topic in Class 12 Accountancy for.

200000 and general reserve Rs. The working capital turnover ratio is thus 12000000 2000000 60. A Liquidity Ratios 1.

Working capital Current assets - current liabilities. A 11 b 0 c 15 b Cant say. Current assets Cash Bank Trade receivable Current assets 200000 300000 50000 Current assets 550000.

Multiple Choice Questions Select the best alternate and check your answer with the answers given at the end of the book. Working Capital Current Assets Current Liabilities 18 00000 5 00000 13 00000. A Inventory Turnover Ratio and Working Capital Turnover Ratio.

Ratio It is an arithmetical expression of relationship between two related or interdependent items. Accounting Ratios Class 12 Accountancy MCQs Pdf. Ans b Given that.

The best app for CBSE students now provides accounting for partnership firms fundamentals class 12 Notes latest chapter wise notes for quick preparation of CBSE board exams and school-based annual examinations. Compute Gross Profit Ratio from the following information. Accounting Ratios Class 12 MCQs Questions with Answers.

100000 and total assets RS 2100000. A firms current assets are 360000 current ratio is 3. I Operating profit ratio.

It is a relationship between working capital and revenue from operations. And if Working capital turnover ratio Ans. Current assets Cash Bank Trade receivable Current assets 200000 300000 50000 Current assets 550000.

When ratios are calculated on. Accounting Ratios class 12 Notes Accountancy in PDF are available for free download in myCBSEguide mobile app. 130000 380000 10000 500000.

Working capital turnover ratio 1850000370000. Net Credit Sales 18 00000. Working capital Current assets - Current liabilities Working capital 550000 - 180000 Working capital 370000 Working note 2.

200000 and general reserve Rs. We now look at the meaning and characteristics of working capital turnover ratio as mentioned in the chapter on accounting ratios class 12. I Compute debtors turnover ratio from the following information Revenue from operations Total sales Rs 520000 cash revenue from operations 60 of the credit revenue from operations closing debtors Rs 80000 opening debtors are 34th of closing debtors.

Working capital Turnover ratio Net Sales Working Capital 420000 60000 7. Iii Return on Investment. D Gross Profit Margin and Net Profit.

Meaning of Working Capital Turnover Ratio. It shows the number of times a unit of Rupee invested in working capital produces sales. Working capital turnover ratio 5 Times Working note 1.

100000 and total assets RS 2100000. Compute the Working Capital Turnover Ratio of the company. Working capital Turnover ratio Net salesWorking capital.

Current Ratio 25 Quick Ratio 15 Working Capital 60000. Cost of revenue from operations is 1200000. Working capital turnover ratio 5 Times Working note 1.

B Liquid Ratio and Operating Ratio. MCQ Questions for Class 12 Accountancy with Answers. C Liquid Ratio and Current Ratio.

500000 reserve surplus Rs. A Inventory turnover ratio and working capital turnover ratio b Liquid Ratio and Operating Ratio c Liquid Ratio and Current Ratio d Gross Profit Margin and Net Profit Margin. A Inventory turnover and Current ratio B Current ratio and Quick ratio C Gross Profit ratio and Operating ratio.

Trade Receivables Turnover Ratio. Ii Inventory Turnover Ratio. A 15000 b 40000 c 60000 d 100000.

If share capital Rs. Accounting Ratios CBSE Notes for Class 12 Accountancy Topic 1. Working capital turnover ratio 500000125000 4 times.

The two basic measures of operational efficiency of a company are. This means that for every 1 spent on the business it is providing net sales of 7. 60000Calculate net credit revenue from operations.

500000 reserve surplus Rs. The value of current liabilities will be. Ans d What will be the current ratio of a company whose net working capital is Zero.

From the following information calculate the following ratios. Take the Next Step to Invest. Working capital turnover ratio Turnover ratio Class 12.

Working capital Current assets - Current liabilities Working capital 550000 - 180000 Working capital 370000 Working note 2. Accounting Ratios It is a mathematical expression that shows the relationship between various items or groups of items shown in financial statements. Two basic measures of liquidity are.

Trade receivable turnover ratio 5 times average trade receivables Rs. Exercise Q 103 Page 104. Multiple Choice Questions MCQs.

This means that every dollar of working capital produces 6 in revenue. Net sales Total sales - sales return. MCQ Questions for Class 12 Accounting Ratios.

MCQ Questions Class 12 Accountancy Accounting Ratios Question. A 3 times b 5 times c 8 times d 4 times. Its working capital turnover ratio will be.

Working Capital Current Assets Current Liabilities Current Assets Working Capital Current Liabilities 120000 5000 125000. Working capital turnover ratio 1850000370000.

Working Capital Turnover Ratio Meaning Formula Calculation