1. An investor wants to tests the financial position of Asian Paints Ltd. Thus, he wants to assess the short term liquidity as well as long term solvency. Discuss the four relevant ratio’s which he will definitely look into. (10 Marks)
2. Discuss the components of Other Income under the statement of Profit and Loss accounts of any Indian Corporate. How other income is different from revenue from normal operations under the vertical format. (10 Marks)
3. The following information is provided by a dealer in computer chips. The dealer follows FIFO method for valuing stock, calculate from the following figures –
| Date particulars April 1, 2019 Opening stock 750 chips @Rs1550 per chip | |
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Purchases April 10, 2019 1000 chips @Rs1750 per chip April 20, 2019 1650 chips @ Rs1875 per chip |
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Sales April 15, 2019 900 chips @Rs3000 per chip April 16, 2019 1950 chips @ Rs 3250 per chip |
a) Cost of goods available for sale (5 Marks) b) Gross profit (5 Marks)
University: NMIMS Year: 2015