Practice Introduction (1.1) - Ratio Analysis - ICSE 12 Accounts
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Introduction

Practice - Introduction

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Learning

Practice Questions

Test your understanding with targeted questions

Question 1 Easy

What is the formula for the Current Ratio?

💡 Hint: Think about how we measure short-term obligations.

Question 2 Easy

What do Liquidity Ratios measure?

💡 Hint: Consider what a business needs to pay in the short term.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

What is the ideal Current Ratio?

1:1
2:1
3:1

💡 Hint: Think about healthy financial ratios.

Question 2

True or False: Ratio Analysis is mainly qualitative.

True
False

💡 Hint: Reflect on what type of data ratios use.

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Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

A company has a current assets total of ₹300,000 and current liabilities of ₹150,000. Calculate both the Current Ratio and the Quick Ratio if the inventory is ₹50,000.

💡 Hint: Use the formulas for each ratio.

Challenge 2 Hard

If a firm has a Debt-Equity Ratio of 0.5 and its equity is ₹80,000, what is its total debt?

💡 Hint: Apply the debt-equity formula correctly.

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Reference links

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