What is the current ratio of a company whose current assets are Rs. 5,00,000 and current liabilities are Rs. 2,00,000?

Step-by-step solution

1. Apply the formula for current ratio: $\frac{\text{Current Assets}}{\text{Current Liabilities}}$.
2. Divide: $\frac{5,00,000}{2,00,000}=2.5$.

Concept tested: Current ratio

Published 10 October 2026 · How this solution was prepared and checked