Current ratio of Reliance Textiles Ltd. is 1.5 at present. In future it wants to improve this ratio to 2. Suggest any two accounting transactions for improving the current ratio. Post category:Accountancy Reading time:1 mins read SOLUTIONReason:(i) Payment of current liabilities, (ii) Issue of share capital or raising long-term loan. 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 PostWhat will be the current ratio of a company whose Net Working Capital is Zero? (C.B.S.E. Sample Paper. 2020) Next PostWhat will be the operating profit ratio, if operating ratio is 83.64%? You Might Also Like What is maximum amount of discount which may be allowed on reissue of forfeited shares? (C.B.S.E, 2014) September 28, 2022 Sunshine Ltd. issued 20,000 shares of Rs. 100 each payable Rs. 25 per share on application, Rs. 25 per share on allotment and the balance in two calls of Rs. 25 each. The company did not make the final call of Rs. 25 per share. All the money was duly received with the exception of the amount due on the first call on 400 shares held by Mr. Modi. The Board of Directors forfeited these shares and subsequently reissued them @ Rs. 75 per share paid-up for a sum of Rs. 28,000. Journalise the above transactions and prepare Share Capital Account July 14, 2022 Working Capital Rs. 1,80,000; Total Debts Rs. 3,90,000; Long-Term Debts Rs. 3,00,000. Calculate Current Ratio. August 10, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
What is maximum amount of discount which may be allowed on reissue of forfeited shares? (C.B.S.E, 2014) September 28, 2022
Sunshine Ltd. issued 20,000 shares of Rs. 100 each payable Rs. 25 per share on application, Rs. 25 per share on allotment and the balance in two calls of Rs. 25 each. The company did not make the final call of Rs. 25 per share. All the money was duly received with the exception of the amount due on the first call on 400 shares held by Mr. Modi. The Board of Directors forfeited these shares and subsequently reissued them @ Rs. 75 per share paid-up for a sum of Rs. 28,000. Journalise the above transactions and prepare Share Capital Account July 14, 2022
Working Capital Rs. 1,80,000; Total Debts Rs. 3,90,000; Long-Term Debts Rs. 3,00,000. Calculate Current Ratio. August 10, 2022
