Ratios Questions

Calculate the Gross Profit Ratio from the following information:Revenue from operations: $\text{Rs. }3,40,000$ Cost of revenue from operations: $\text{Rs. }1,20,000$

To assess the long-term solvency of a business, which of the following ratios are used?(A) Interest coverage ratio(B) Proprietary ratio(C) Acid test ratio(D) Debt to capital employed ratioChoose the correct answer from the options given below:

Compute Earning per share (EPS) from the following information:Net profit after tax but before dividend: $\text{Rs. }1,75,000$ Equity shares of $\text{Rs. }10$ each: $\text{Rs. }7,00,000$ Dividend declared: @ $15\%$ Market price of a share: $\text{Rs. }13$

Match List-I with List-II:List-IList-II(A) Measure of liquidity(I) Return on capital employed(B) Measure of earning capacity(II) Inventory turnover ratio(C) Measure of activity of firm's inventory(III) Profitability ratio(D) Measure of Productive efficiency of funds(IV) Current ratioChoose the correct answer from the options given below:

The current ratio of a firm is $2:1$. What will be the impact of purchasing goods on credit on this ratio?