n NISM Certifications
XV NISM Series XV
Medium

A company has a Current Ratio of 2.5, a Quick Ratio of 1.5, and total current assets of Rs. 1,00,000. Calculate the value of the company’s inventory.

Practice question from NISM XV Mock Test 7 — bank. The correct answer is highlighted below with a full explanation.

Options

  1. A

    Rs. 25,000

  2. Rs. 40,000

    Correct answer

  3. C

    Rs. 1,50,000

  4. D

    Rs. 2,50,000

Why this is the answer

Current Liabilities = 1,00,000 ÷ 2.5 = 40,000. Quick Ratio = (1,00,000 – Inventory) ÷ 40,000 = 1.5 → Inventory = 1,00,000 – 60,000 = 40,000.

Test yourself for real

Take a full NISM Series XV mock test.

Same duration, same weighting, same difficulty distribution as the real exam — with explanations on every question.