Trade Receivables Turnover Ratio and Trade Payables Turnover Ratio are categorised as: Option 1: Liquidity Ratio Option 2: Solvency Ratio Option 3: Activity Ratio Option 4: Profitability Ratio

The answer is 'Activity Ratio'. View full solution:

CUET Accountancy - Trade Receivables Turnover Ratio and Trade Payables Turnover Ratio are categorised as: | PYQs + Solutions

CUET Accountancy

Financial Statements

Easy

Liquidity Ratio

Solvency Ratio

Activity Ratio

Profitability Ratio

✅ Correct Option: 3

Related questions:

20 July Shift 1

Match List - I with List - II

List - I	List - II
(a) Working Capital Turnover Ratio	(i) $\frac{\text{Quick Assets}}{\text{Current liabilities}}$
(b) Acid Test Ratio	(ii) $\frac{\text{Operating Profit}}{\text{Rev. from operations}} \times 100$
(c) Operating Profit Ratio	(iii) $\frac{\text{Revenue from operation}}{\text{Working capital}}$
(d) Trade Payables Turnover Ratio	(iv) $\frac{\text{Net Credit Revenue from operation}}{\text{Average Trade payables}}$

Choose the correct answer from the options given below :

20 Aug Shift 2

X Ltd. has a Current Ration of 3.5 : 1 and Quick Ratio of 2 : 1. If excess of current assets over quick assets represented by inventories is Rs. 24,000. Calculate current liabilities.

15 May Shift 1

Match List-I with List-II

List-I	List-II
Accounting ratio	Type of accounting ratio
(A) Current ratio	(I) Liquidity ratios
(B) Stock turnover ratio	(II) Activity ratios
(C) Debt Equity ratio	(III) Solvency ratios
(D) Operating ratio	(IV) Profitability ratios

Choose the correct answer from the options given below:

CUET Accountancy PYQs

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