What will be the impact of ‘Cash Paid to trade Payables on a Current Ratio of 2: 1? State the reason. Post category:Accountancy Reading time:1 mins read SOLUTION Current Ratio will improve because both Current assets and current liabilities are decreased by the same amount. 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 current ratio of a company is 2: I. Stale giving reason whether purchase of goods on credit will increase, decrease or not change the ratio. (C.B.S.E. 2020. Delhi) Next PostWhat will be the impact of ‘Cash Paid to Trade Payables’ on a Current ratio of 1: 1? State the reason. You Might Also Like Following is the Balance Sheet of Mevanca Limited as at 31st March, 2017: August 18, 2022 P and Q were partners in a firm sharing profits and losses equally. Their fixed capitals were Rs. 2,00,000 and Rs. 3,00,000 respectively. The partnership deed provided for interest on capital @ 12% per annum. For the year ended 31st March, 2016, the profits of the firm were distributed without providing interest on capital. Pass necessary adjustment entry to rectify the error. (C.B.S.E. 2017, Outside Delhi) September 26, 2022 What is a Revaluation Account? September 26, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
P and Q were partners in a firm sharing profits and losses equally. Their fixed capitals were Rs. 2,00,000 and Rs. 3,00,000 respectively. The partnership deed provided for interest on capital @ 12% per annum. For the year ended 31st March, 2016, the profits of the firm were distributed without providing interest on capital. Pass necessary adjustment entry to rectify the error. (C.B.S.E. 2017, Outside Delhi) September 26, 2022