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The following information is provided:Net working capital Rs.300,000 that represents Rs.100,000 inventory value Current liabilities Rs.200,000…

BBS Financial Accounting and Analysis · 2081 · Solved Question with Answer

The following information is provided:Net working capital Rs.300,000 that represents Rs.100,000 inventory value Current liabilities Rs.200,000 Capital employed Rs.1,000,000 Debentures Rs.300,000 Accounts receivable Rs.80,000 Operating profit of the year Rs.100,000 being 10% of Sales. Income tax is 25% Required:a. Net profit after tax   b. Current ratioc. Debt to total capital ratio   d. Inventory turnover ratioe. Average of receivable   f. Return on shareholder's equityg. Net profit margin   Started business with cash of Rs.50,000 and goods of Rs.150,000Received commission Rs.26,000 including advance commission Rs.2,000Required: Accounting equation [1+ 6+1.5=10]

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