Calculate Current Assets of a Company from the following information: Inventory Turnover Ratio = 4 Times. Inventory at the end is ₹ 20,000 more than the Inventory in the beginning. Revenue from Operations ₹ 3,00,000 and

Cost of Revenue from Operations = Revenue from Operations - Gross Profit = ₹ 3,00,000 - (₹ 3,00,000 × 20%) = ₹ 3,00,000 - ₹ 60,000 = ₹ 2,40,000/- Inventory Turnover Ratio = Cost of Revenue from Operations / Average Inventory. Average Inventory = Cost of Revenue from Operations / 4 = ₹ 2,40,000 / 4 = ₹ 60,000/- Average Inventory = (Opening Inventory + Closing Inventory) / 2 ₹ 60,000/- = (Opening Inventory + (Opening Inventory + ₹ 20,000)) / 2 ₹ 60,000 = Opening Inventory + ₹ 10,000 Opening Inventory = ₹ 50,000 Closing Inventory = ₹ 70,000 Liquid Ratio = Liquid Assets / Current Liabilities 0.75 = Liquid Assets / ₹ 40,000 Liquid Assets = ₹ 40,000 × 0.75 = ₹ 30,000/- Current Assets = Liquid Assets + Closing Inventory = ₹ 30,000 + ₹ 70,000 = ₹ 1,00,000/-.