Page 3 - Module - 3
P. 3
that period.
b) Cost of goods sold in a given period and the average amount of stock held during that
period.
c) Both a and b
d) None of the above
4. Determine stock turnover ratio if, Opening stock is Rs 31,000, Closing stock is
Rs 29,000, Sales is Rs 3,20,000 and Gross profit ratio is 25% on sales.
a) 31 times
b) 11 times
c) 8 times
d) 32 times
5. Debtors Turnover ratio is also known as
A) Receivables turnover ratio
B) Debtors velocity
C) Stock velocity
D) Payable turnover ratio
a) A and B
b) A and C
c) B and C
d) C and D
6. Determine Debtors turnover ratio if, closing debtors is Rs 40,000, Cash sales is
25% of credit sales and excess of closing debtors over opening debtors is Rs
20,000.
a) 4 times
b) 2 times
c) 6 times
d) 8 times
7. Working capital turnover ratio can be determined by:
