Following are the particulars available for Z and X, LLP Particulars (Rs in ‘000) retained earnings 860 accounts receivable 250 supplies 150 salaries payable 150 equipment 1500 unearned revenue 200 accounts payable 540 cash 550 prepaid insurance 300 common stock 1000 Prepare T Form Balance Sheet out of the details as shared in the table (5 Marks) Define and calculate

Following are the particulars available for Z and X, LLP

Particulars	(Rs in ‘000)
retained earnings	860
accounts receivable	250
supplies	150
salaries payable	150
equipment	1500
unearned revenue	200
accounts payable	540
cash	550
prepaid insurance	300
common stock	1000

1. Prepare T Form Balance Sheet out of the details as shared in the table (5 Marks)
2. Define and calculate the current ratio, Discuss the significance of this rati (5 Marks)

Expert Answer

Z and X, LLP Balance Sheet Assets Current assets: Cash: 550 Accounts receivable: 250… View the full answer