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DK Goel Solutions Q 49 Chapter 3 Accounting Ratios Class 12 CBSE [2023-24]

Question 49 of 120Chapter 3Class 12 · CBSE✍ Vijay Adarsh

Step-by-step solution of Question 49, Chapter 3 Accounting Ratios, DK Goel Class 12 Accountancy 2023-24 for the CBSE Board.

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Question 49

Debt to Capital Employed Ratio is 0.25 : 1. State whether the following transactions will improve, decline or will not change the Debt to Capital Employed Ratio. Also give reasons for the same.

  1. (i) Purchase of Plant & Machinery on a credit of 6 months.
  2. (ii) Sale of Land of Book Value of ₹ 20,00,000 for ₹ 30,00,000.
  3. (iii) Repayment of half of 10% Bank Loan.
  4. (iv) Issue of ₹ 8,00,000, 7% Debentures at a discount of 6%, redeemable at 4% premium.
  5. (v) Issue of Equity Shares of ₹ 10,00,000 to Vendors for purchase of machinery.
  6. (vi) Dividend proposed by directors of the company for the current year.
  7. (vii) Redemption of Debentures maturing during the year.
DK Goel Class 12 Accounting Ratios Question 49

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About this solution

This is Chapter 3 Accounting Ratios of DK Goel For 2024 Examinations.

Written by Vijay Adarsh, teaching commerce since 2003 to Class 11, Class 12, B.Com, CA, CS and CMA students.

We have solved all the practical questions in this book and explained them Step by Step in detail with clear working notes.

Also, we have followed the proper format and workings which are required as per CBSE Guidelines. Just follow our presentation of solutions and score good marks in the Accountancy Board Exam.

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