Following is the Balance Sheet of Crescent Chemical Works Limited as a

Following is the Balance Sheet of Crescent Chemical Works Limited as at 31st March, 2019: Particulars Note No. ₹ I. EQUITY AND LIABILITIES : 1. Shareholder's Funds : (a) Share Capital 70,000 (b) Reserves and Surplus 35,000 2. Non-Current Liabilities : Long-term Borrowings 25,000 3. Current Liabilities : (a) Short-term Borrowings 3,000 (b) Trade Payables (Creditors) 13,000 (b) Short-term Provisions: Provision for Tax 4,000 Total 1,50,000 II. ASSETS : 1. Non-Current Assets (a) Fixed Assets (Tangible) 45,000 (b) Non-current Investments 5,000 2. Current Assets (a) Inventories (Stock) 50,000 (b) Trade Receivables (Debtors) 30,000 (c) Cash and Cash Equivalents 20,000 Total 1,50,000 Compute Current Ratio and Liquid Ratio

Answer»

Following is the Balance Sheet of Crescent Chemical Works Limited as at 31st March, 2019:

Particulars	Note No.	₹
I. EQUITY AND LIABILITIES : 1. Shareholder's Funds :
(a) Share Capital		70,000
(b) Reserves and Surplus		35,000

2. Non-Current Liabilities :
Long-term Borrowings		25,000

3. Current Liabilities :
(a) Short-term Borrowings		3,000
(b) Trade Payables (Creditors)		13,000
(b) Short-term Provisions: Provision for Tax		4,000
Total		1,50,000
II. ASSETS :
1. Non-Current Assets
(a) Fixed Assets (Tangible)		45,000
(b) Non-current Investments		5,000

2. Current Assets
(a) Inventories (Stock)		50,000
(b) Trade Receivables (Debtors)		30,000
(c) Cash and Cash Equivalents		20,000
Total		1,50,000

Compute Current Ratio and Liquid Ratio