Quick ratio of a company is 1:1 is to one state where the reason with the following transaction will increase decrease or not change in the ratio first paid insurance premium in advanced rupees 10000 paid purchase goods on credit rupees 8000 Institute fully paid equity share of rupees 100000 issued 9% depends on rupees 500000 purchased
Dear Student
1) It will be decreased as Cash will decrease.
2) It will be decreased as Creditors will increase
3) It will increase as issue of share will result in Increase in cash as the firm will recieve money from shareholders
4) It will be decreased as Cash will decrease.
Regards
1) It will be decreased as Cash will decrease.
2) It will be decreased as Creditors will increase
3) It will increase as issue of share will result in Increase in cash as the firm will recieve money from shareholders
4) It will be decreased as Cash will decrease.
Regards