| # | # |
| Capital 8000 | Plant and machinery 5000 |
| Net profit 4000 | Motor van 4500 |
| Drawings 200 | Stock 2000 |
| Creditors 2000 | Debtor 1000 |
| Accruals 300 | Bank 100 |
| Cash 600 | |
| 14100 | 14100 |
A. 1.13 : 1
B. 2 : 1
C. 4.75 : 1
D. 4.25 : 1
Correct Answer:
Option A = 1.13 : 1
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