Read the following information and answer the question.
| PARTICULARS | AMOUNT (₹) |
| Share capital | 30,00,000 |
| Securities premium reserve | 2,00,000 |
| Reserves and surplus | 10,00,000 |
| Loan from IFCI @10% | 20,00,000 |
| 5% Bonds | 25,00,000 |
| Long term provision | 3,00,000 |
| Short term provision | 1,00,000 |
| Short term borrowings | 4,00,000 |
| Trade payables | 5,00,000 |
What will be the total amount of current liabilities if the following information is available?
Answer & explanation
Correct answer: option 2
The correct answer is option 2- ₹10,00,000
Current liabilities = Short term provision + Short term borrowings + Trade payables
= 1,00,000 + 4,00,000 + 5,00,000
= 10,00,000