What will be the impact of ‘Cash collected from trade receivables’ on a Current ratio of 2: 1? State with reason. Post category:Accountancy Reading time:1 mins read SOLUTION No effect because neither the Current assets nor the Current liabilities are affected. Only one Current asset is converted into another Current asset. 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 impact of ‘Cash paid to Trade Payables’ on a Current ratio of 8: 1? State with reason. Next PostThe quick ratio of a company is 0.75: 0.50. Will credit purchase of goods Rs. 10,000 increase, decrease or not change the ratio? Give reason in support of your answer. (C.B.S.E. 2020. Punjab) You Might Also Like Why is it necessary to revalue assets and liabilities of a firm in case of admission of a partner? (C.B.S.E. Sample Paper 2018) October 8, 2022 How does the market situation affect the value of goodwill of a firm? September 26, 2022 Aman, Bimal and Deepak are partners sharing profits in the ratio of 2: 3: 5. The goodwill of the firm has been valued at Rs. 37,500. Aman retired. Bimal and Deepak decided to share profits equally in the future. Calculate gain/ sacrifice of Bimal and Deepak on Aman’s retirement and also pass necessary Journal entry for the treatment of goodwill. August 3, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
Why is it necessary to revalue assets and liabilities of a firm in case of admission of a partner? (C.B.S.E. Sample Paper 2018) October 8, 2022
Aman, Bimal and Deepak are partners sharing profits in the ratio of 2: 3: 5. The goodwill of the firm has been valued at Rs. 37,500. Aman retired. Bimal and Deepak decided to share profits equally in the future. Calculate gain/ sacrifice of Bimal and Deepak on Aman’s retirement and also pass necessary Journal entry for the treatment of goodwill. August 3, 2022