PRC-1 · Chapter 10 · Question 84 of 100
A business has a 'Bank Overdraft' of Rs. 11,600 and a 'Bank Loan' of Rs. 50,000 (of which Rs. 10,000 is repayable within 12 months). What is the total Current Liabilities figure for these two items?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: C) Rs. 21,600
Explanation
Current liabilities include the Bank Overdraft (11,600) and the current portion of the Bank Loan (10,000). Total = 11,600 + 10,000 = Rs. 21,600.
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