✓ Board-verified
Accountancy · 2025 · 4 marks
CBSE 2025 · Region 1 · Set 1 · Q33
Calculate opening and closing Trade Payables from the following information: Total purchases ₹ 15,00,000; Cash purchases are 25% of credit purchases;…
Calculate opening and closing Trade Payables from the following information : Total purchases ₹ $\displaystyle 15,00,000$; Cash purchases are $\displaystyle 25$% of credit purchases; Trade payables turnover ratio is $\displaystyle 4$ times; Closing trade payables are two times of opening trade payables.
From the following information, calculate 'Return on Investment' : Shareholders Funds ₹ $\displaystyle 16,00,000$ $\displaystyle 10$% Debentures ₹ $\displaystyle 8,00,000$ Current Liabilities ₹ $\displaystyle 2,00,000$ Current Assets ₹ $\displaystyle 5,00,000$ Non-Current Assets ₹ $\displaystyle 21,00,000$ Net profit after tax was ₹ $\displaystyle 3,00,000$ and the tax amounted to ₹ $\displaystyle 1,00$,000.
Marking-scheme solution
Trade payables turnover ratio= Net Credit purchases/ Average Trade Payables………………….1
Total purchases = Cash purchases+ Credit purchases
ð ₹$\displaystyle 15,00,000$= ¼ Credit purchases + Credit purchases
ð ₹$\displaystyle 15,00,000$= $\displaystyle 5$/$\displaystyle 4$ Credit Purchases
ð
Credit Purchases ₹$\displaystyle 15,00,000$ x $\displaystyle 4$/$\displaystyle 5$
ð Credit purchases= ₹$\displaystyle 12,00,000$…………………………………………………….……….1
$\displaystyle 14$
Trade payables turnover ratio= Net Credit purchases/ Average Trade Payables
ð $\displaystyle 4$ =₹$\displaystyle 12,00,000$/ Average Trade Payables
ð Average Trade Payables= ₹$\displaystyle 3,00,000$
Average Trade Payables= (Opening Trade Payables + Closing Trade Payables)/$\displaystyle 2$
ð ₹$\displaystyle 3,00,000$ = (Opening Trade Payables + $\displaystyle 2$ Opening Trade Payables)/$\displaystyle 2$
ð Opening Trade Payables= ₹$\displaystyle 3,00,000$ x $\displaystyle 2$/$\displaystyle 3$
ð Opening Trade Payables= ₹$\displaystyle 2,00,000$…………………………………………………….1
Closing Trade Payables= $\displaystyle 2$ x Opening Trade Payables
ð Closing Trade Payables= $\displaystyle 2$ x ₹$\displaystyle 2,00,000$
ð Closing Trade Payables=
₹$\displaystyle 4,00,000$…………………………………………………………………………………$\displaystyle 1$
Q. (b) From the following information……….
Ans.
Return on Investment= Profit before interest and tax/ Capital Employed x $\displaystyle 100$………………$\displaystyle 1$
Profit before Interest and Tax= Net profit after tax + Tax + Interest on Debentures
ð Profit before Interest and Tax= ₹$\displaystyle 3,00,000$ + ₹$\displaystyle 1,00,000$+ ₹$\displaystyle 80,000$
ð Profit before Interest and tax= ₹$\displaystyle 4,80,000$………………………………………………$\displaystyle 1$
Capital employed= Shareholders Funds+ Debentures
ð Capital employed= ₹ $\displaystyle 16,00,000$ + ₹ $\displaystyle 8,00,000$
ð Capital employed= ₹ $\displaystyle 24,00,000$………………………………………………………..1
or
Capital employed= Non-Current assets + Current Assets - Current Liabilities
ð Capital employed = ₹$\displaystyle 21,00,000$ + ₹$\displaystyle 5,00,000$ - ₹$\displaystyle 2,00,000$
ð Capital employed= ₹$\displaystyle 24,00,000$
Return on investment= (₹$\displaystyle 4,80,000$/ ₹$\displaystyle 24,00,000$) x $\displaystyle 100$
ð
Return on investment= $\displaystyle 20$%...........................................................................................1
More from Accounting Ratios
- The current ratio of Jack Ltd. is 3·2: 1 and the quick ratio is 1·5: 1. The excess of current assets over…2025
- The current assets of X Ltd. are ₹ 2,00,000 and its current liabilities are ₹ 1,50,000. If, its working…2023
- Prepare a 'Common S ize Balance Sheet' from the following B alance Sheet of Shree Ltd. as at 31st March,…2022
- Identify whi2024
- Identify and state the significance of any two ratios that are calculated to measure the efficiency of…2023
- From the following information, calculate 'Interest Coverage Ratio': Shareholders' funds 30,00,000 8%…2026
- The quick ratio of Theta Ltd. is 0.8:1. Which of the following transactions will result in decrease in this…2026
- Which of the following is not a Solvency Ratio?2023
CBSE Class 12 Accountancy past-paper question from the 2025board exam, with the answer as CBSE’s own marking scheme gives it. Where our answers come from.