Ratio
This query is : Resolved
Manvendra Rawat
(Querist)
07 January 2014
dear,
please tell me whether cash credit account balance will be included in current liabilities while calculating current ratio of particular entity...?
please tell me whether cash credit account balance will be included in current liabilities while calculating current ratio of particular entity...?
CA Bhargav
(Expert)
07 January 2014
...........................................................................................................
CA DHEERAJ
(Expert)
08 January 2014
Sir Cash credit is provide by bank and is not a unsecured loan, because bank cash credit is given on mortage basis, and cash credit comes under current liability
if you calculate current ration then such cash credit amount include your current liablity,
but if you calculate liquid ratio then such cc not include in your current liablitiy
if you calculate current ration then such cash credit amount include your current liablity,
but if you calculate liquid ratio then such cc not include in your current liablitiy
You need to be the querist or approved CAclub expert to take part in this query .
Click here to login now
Click here to login now
Similar Resolved Queries
Unanswered Queries
- Depreciation Chart Companies Act
- GST Audit whether Govt Companies are exempt?
- PTRC Show Cause Notice on Email
- Accounting treatment of AMC alongwith the purchase of Laptop
- Unable to File TDS Q2 Return – New TRACES Portal Error
- EPF ECR NEW RULES Sep 17th 2026
- MSME disclosure and disallowance
- GST Treatment of Purchases with GST Paid where Outward Supplies of Manufactured CattleFeed Exempt
- Issuing of delivery challan by seller of goods
- Taxation of crypto futures in India Fy 2026- 2027
- Expert Help Required for TDS Refund 100000 Through TRACES – AY 2022–23
- IMPORT PURCHASE ENTRY PASSED IN BOOKS OF ACCOUNT
- FAST DS 26 Undisclosed Foreign Asset Disclosure Scheme 2026
- Regime change
- Goods sold but invoice not issued
- Tally: Imported bank entries do not show up in manual reconciliation
- Sales of goods of amount Rs97 lakhs to a party
- Confused About My Career After 12th — Cyber Security, AI or Finance? Need Guidance
- FAST-DS 2026 Under Tax Law - No recourse or support for person declaring via this scheme?
- Guidance Needed: Linking Multiple Form 26QB Payments and Responding to ITD Defaulter Notice
Trending Online Classes
-
DT & Audit (Exam Oriented Fastrack Batch) - For May 26 Exams and onwards Full English
CA Bhanwar Borana & CA Shubham Keswani
Subscribe to Pro
Join an elite circle of professionals
CAclubindia
