5568303700

lll:2nd-half IKD-JP Cob. 6413-13.

MN-9742 (Total Marks : 60

(2 Hours)

N.B. (1) AU qucslions are compulsory carrying 15 marks cacb.

(2) Ftgures to thc right sidc indicatc fuU marka.

(3) Working notes and assnmptioos should form part of your answcrs.

(4) Use of simple calculator is allowed.

1. The fmancial statcmcnts of Tata Tea Ltd. for thc currcnt ycar cod revcal thc following 15

Information:

Ratio of currcnt assets to currcnt liabilitics 1-75 : 1-0

Liquidity ratio (dcbtors and bank balanccs to currcnt liabilitics) 1-2S : 1-0

Issued Capital in cquity sharcs of? 10 each ? 1,20,000

Net currcnt assets (as ovcr currcnt liabilitics) ? 60,600

Fixcd assets (net btocks) - Pcrccntagc of Sharcholder's cquity 60% as on thc closing datę

Gross profit - Pcrccntagc of tumovcr 20%

Annual ratc of tumovcr of stock (bascd on cost at March 31) 5-26 times

Avcrage age of outstanding dcbtors for thc currcnt ycar 2 months

Net profit - Pcrccntagc on issued sharc Capital 16 %

On March 31* thc eunent assets consislcd of stock, dcbtors and bank balanccs You are rcquircd to rcconstruct, in as much as possible :

(1) The balanccshcct as on March 31*. currcnt ycar and

(2) Thr trading and profit and loss account for thc currcnt ycar ended March 31*.

I. Prom thc following particulars, draw up thc Balanccs Shcct of a company : 15

Currcnt Ratio 2-5

Quick Ratio 15

Ne* Working Capital ? 90,000

Stock Tumovcr Ratio (Cost of Salcs / Closing Stock) 6 Times Gross Profit Ratio 20%

Fixed Assets Tumovcr Ratio (Cost of Salcs) 2 Times

Dcbtors Tumovcr Ratio 2 Months

Fixcd Assets to Sharcholdcrs’ Net Worth 0'80

Rcscrvc and Surplus to Capital 0-50

Notę :

(i) I.iąuid Liabilitics are cqual to Currcnt Liabilitics

(ii) Long Term Liabilitics are 75% of Currcnt Liabilitics.

[ TURN OVF.R