You are required to CALCULATE the Total Current Assets of Ananya Limited from the given information: Stock Turnover = 5 times Sales (All credit) =…

Cost of Goods Sold = Sales – Gross Profit = 7,20,000 – 25% x 7,20,000 = 5,40,000 2. Stock Turnover = \frac{\text{Cost of Goods Sold}}{\text{Average Stock}} Cost of Goods SoldAverage Stock Cost of Goods Sold Average Stock = \frac{\text{5,40,000}}{\text{Average Stock}} 5,40,000Average Stock 5,40,000 Average Stock = 5 times. Average Stock = \frac{\text{5,40,000}}{5} 5,40,0005 5,40,000 5 = 1,08,000 3. Let Opening Stock be x. Closing Stock is 30,000 more than Opening Stock. Closing Stock = (x + 30,000) Average Stock = \frac{x+x+30,000}{2} x+x+30,0002 x + x + 30 , 000 2 = 1,08,000. 2 x = 2,16,000 – 30,000 x = \frac{1,86,000}{2} 1,86,0002 1 , 86 , 000 2 = 93,000 = Opening Stock. Closing Stock = x + 30,000 = 93,000 + 30,000 = 1,23,000 4. Liquid Ratio = \frac{\text{Liquid Assets}}{\text{Current Liabilities}} Liquid AssetsCurrent Liabilities Liquid Assets Current Liabilities = \frac{\text{Liquid Assets}}{2,40,000} Liquid Assets2,40,000 Liquid Assets 2 , 40 , 000 = 1.25. Liquid Assets = 3,00,000 5. Current Assets = Liquid Assets + Closing Stock = 3,00,000 +1,23,000 = 4,23,000