[Solved] Current assets are Rs.6,00,000 current liabilities are Rs.3,00,000 the debtors realized Rs.40,000, the impact on net working capital would be-------------------------

Q.	Current assets are Rs.6,00,000 current liabilities are Rs.3,00,000 the debtors realized Rs.40,000, the impact on net working capital would be-------------------------
A.	No change in working capital
B.	Decrease of working capital by Rs.80,000
C.	Increase of working capital by Rs.40,000
D.	None of these
Answer» A. No change in working capital

View all MCQs in: Management Accounting

Discussion

Related Multiple Choice Questions

What is formula of Capital employed? I)Shareholder's Funds+Non Current Liabilities II)Total Assets-Current Liabilities III)Non Current Assets-Working capital IV)Total Assets-Total Liabilities
For year 2018 Equity Share Capital is Rs 3,00,000 Preference Share Capital is Rs.1,00,000,10% debentures is Rs.2,00,000 and Share premium is Rs.30,000. For year 2019 Equity Share Capital is Rs 4,00,000 Preference Share Capital is Rs.60,000 10% debentures is Rs.1,00,000 and Share premium is 40,000. Also given, Dividend paid on shares Rs 15,000 and Interest paid on debentures Rs. 20,000. Determine net cash flow from financing activities.
Fixed assets are Rs 5,00,000 , Current assets are Rs 3,00,000, Current liabilities are Rs 1,00,000. There is no investment. Capital employed will be :
Total revenue from operations ₹27,00,000; Credit revenue from operations ₹18,00,000; Opening Debtors ₹3,20,000; Closing Debtors ₹4,00,000; Provision for Doubtful Debts ₹60,000. Trade Receivables Turnover Ratio will be :
Net Profit during the year ₹ 1,00,000 Debtors in the beginning the year of ₹ 30,000 Debtors at the end of the year ₹ 36,000 What is the amount of Cash From Operating Activities?
The net working capital, being the difference between current assets and current liabilities is a _______.
Fixed assets include premises Rs 10,00,000, Machinery Rs 5,00,000 Furniture Rs 2,00,000 Vehicles Rs 3,00,000 Live stock Rs 1,00,000 Goodwill Rs 2,00,000, Patents & Copy rights Rs 1,50,000, Underwriting commission Rs 50,000 Fixed tangible immovable asset will be :
Given inventory of 24,000, other current assets of 12,000 and current liabilities of 20,000, the acid test (quick ratio) will be:
Current Assets are Rs 5,00,000 and Current liabilities are Rs 2,00,000. The Current ratio is
According to ________ working capital refers to the difference between current assets and current liabilities.

Help us improve!

We want to make our service better for you. Please take a moment to fill out our survey.

Take Survey