110,05,900 110,05,900

The following information is available:

,50,000 ‏وز‎ to be transferred to general reserve ii.
R60,000 is to be transferred to debenture redemption reserve iii.
Directors approved for a dividend at 10%

(3x10 marks = 30
marks) Part C
Compulsory question, the question carries 20 marks

11. Financial statements of M/S. Maran Consultancy Limited contain the following
information:
Liabilities 2014 2015 | Assets 2014 2015
Equity share 20,00,000 | 20,00,000 Fixed assets (net) 21,20,000 | 21,60,000
Retained earnings Investment
Debentures 16,00,000 | 16,00,000 | Cash in hand
Sundry creditors Prepaid expenses 28,000 12,000
Bills payable Debtors
Stock 18,40,000 | 21,60,000
47,08,000 52,1200 47,08,000 52,12,000 |
Statement of profit for the year 2014 and 2015
(Amount in Rupees)
2014 2015
Sales 35,00,000 40,00,000
Less cost of goods sold 25,00,000 28,00,000
Less interest
PBT 10,40,000
Less taxes @ 50%
PAT

Compute the following ratios for the year 2015 and comment onthe results:
i.Current Ratio

ர்‌. Acid Test Ratio iii.

Debt Equity Ratio

iv.Interest Coverage Ratio

Page 3 of 4