From the following information, calculate Opening Trade Receivables and Closing Trade Receivables : Trade Receivables Turnover Ratio - $\displaystyle 4$ times Closing Trade Receivables were ₹ $\displaystyle 20,000$ more than that in the beginning. Cost of Revenue from operations - ₹ $\displaystyle 6,40$,000. . 1rd . Cash Revenue from operations of Credit Revenue from $\displaystyle 3$ Operations Gross Profit Ratio - $\displaystyle 20$%

OR

From the following information, calculate opening and closing inventory : Gross Profit Ratio - $\displaystyle 25$% Revenue from operations - ₹ $\displaystyle 8,00,000$ Inventory turnover ratio - $\displaystyle 4$ times Opening inventory was $\displaystyle 2$ times of the closing inventory.

Trade Receivables Turnover Ratio= Net Credit Revenue from operations………………………... $\displaystyle 1$ Average Trade Receivables Cost of Revenue from operations= ₹$\displaystyle 6,40,000$ Gross Profit= $\displaystyle 20$% of Revenue from operations = $\displaystyle 25$% of Cost of Revenue from operations ð $\displaystyle 25$/$\displaystyle 100$ x ₹$\displaystyle 6,40,000$ ð ₹$\displaystyle 1,60,000$ Revenue from operations = Cost of Revenue from operations + Gross Profit ð Revenue from operations = ₹$\displaystyle 6,40,000$ + ₹$\displaystyle 1,60,000$ ð Revenue from operations= ₹$\displaystyle 8,00,000$ Revenue from operations= Cash Revenue from operations + Credit Revenue from operations ₹$\displaystyle 8,00,000$ = $\displaystyle 1$/$\displaystyle 3$ Credit Revenue from operations + Credit Revenue from operations ð Credit Revenue from operations= ₹$\displaystyle 6,00,000$…………………………………………..……….. $\displaystyle 1$ ð Trade Receivables Turnover Ratio= Net Credit Revenue from operations Average Trade Receivables ð $\displaystyle 4$ = ₹$\displaystyle 6,00,000$/ Average Trade Receivables ð Average Trade Receivables= ₹$\displaystyle 1,50,000$ Average Trade Receivables= Opening Trade Receivables+ Closing Trade Receivables $\displaystyle 2$ Let Opening Trade Receivables be x ð Average Trade Receivables = [x + (x + ₹$\displaystyle 20,000$)]/$\displaystyle 2$ ð ₹$\displaystyle 1,50,000$ = x + ₹$\displaystyle 10,000$ x = ₹$\displaystyle 1,40,000$ ð ð Opening Trade Receivables= ₹$\displaystyle 1,40,000$………………………………………………..………. $\displaystyle 1$ ð Closing Trade Receivables= ₹$\displaystyle 1,40,000$ + ₹$\displaystyle 20,000$ ð Closing Trade Receivables= ₹$\displaystyle 1,60,000$………………………………………………….………. $\displaystyle 1$ Q. (b) From the following information………. Ans. Inventory Turnover Ratio =Cost of Revenue from operations/ Average Inventory………… $\displaystyle 1$ Gross Profit Ratio = Gross Profit/ Net Revenue from Operations ð $\displaystyle 25$ = Gross Profit/ ₹$\displaystyle 8,00,000$ ð Gross Profit= ₹$\displaystyle 2,00,000$ Cost of Revenue from operations = Revenue from operations – Gross Profit ð Cost of Revenue from operations =₹$\displaystyle 8,00,000$ - ₹$\displaystyle 2,00,000$ ð Cost of Revenue from operations = ₹$\displaystyle 6,00,000$ ……………………………………….………… $\displaystyle 1$` Inventory Turnover Ratio =Cost of Revenue from operations/ Average Inventory ð $\displaystyle 4$ = ₹$\displaystyle 6,00,000$/ Average Inventory ð Average Inventory = ₹$\displaystyle 1,50,000$ Average Inventory = (Opening Inventory + Closing Inventory)/$\displaystyle 2$ ð ₹$\displaystyle 1,50,000$ = ($\displaystyle 2$ Closing Inventory + Closing Inventory)/$\displaystyle 2$ ð Closing Inventory=₹$\displaystyle 1,00,000$……………………………………………………………………………. $\displaystyle 1$ Opening Inventory= $\displaystyle 2$ Closing Inventory ð ð Opening Inventory =₹$\displaystyle 2,00,000$……………………………………………………………….………… $\displaystyle 1$