What will be the impact of ‘Payment to Trade Payables’ on Trade Payables turnover ratio? State with reason. Post category:Accountancy Reading time:1 mins read SOLUTION The ratio will increase because of decrease in Trade Payables. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostThe total debtors of X Ltd. were Rs. 9,00,000. It had created a provision of 10% for bad and doubtful debts. What amount of debtors will be used for calculating the ‘Trade Receivables Turnover Ratio’? (C.B.S.E. 2020, Mumbai, Chennai). Next PostTrade Payables turnover ratio of a Company is 5 times. What will be the impact of ‘Credit purchase’ of Rs. 50,000 on this ratio? State with reason. You Might Also Like Calculate Trade Receivables Turnover Ratio from the following information: August 16, 2022 The quick ratio of a company is 0.5: 0.75. Will cash sales of Rs. 5,000 increase, decrease or not change the ratio? Give reason in support of your answer. (C.B.S.E. 2020, Punjab) October 3, 2022 What is the status of partnership firm from an accounting viewpoint? October 7, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
The quick ratio of a company is 0.5: 0.75. Will cash sales of Rs. 5,000 increase, decrease or not change the ratio? Give reason in support of your answer. (C.B.S.E. 2020, Punjab) October 3, 2022