| Particulars | Amount (Rs.) | Particulars | Amount (Rs.) |
| Trade Receivable (Sundry Debtors) | 1,80,000 | Bills Payable | 20,000 |
| Prepaid Expenses | 40,000 | Sundry Creditors | 1,00,000 |
| Cash and Cash Equivalents | 50,000 | Debentures | 4,00,000 |
| Marketable Securities | 50,000 | Inventories | 80,000 |
| Land and Building | 5,00,000 | Expenses Payable | 80,000 |
SOLUTION
Current Assets = Trade Receivables + Pre-paid Expenses + Cash and Cash Equivalents + Marketable Securities + Inventories
= 1,80,000 + 40,000 + 50,000 + 50,000 + 80,000 = Rs. 4,00,000
Current Liabilities = Bills Payable + Sundry Creditors + Expenses Payable
= 20,000 + 1,00,000 + 80,000 = Rs. 2,00,000
Current ratio= Current assets/Current liabilities
=4,00,000/2,00,000 = 2: 1