On December 31, 2024, Star Limited had current assets of TK. 1.00,000 and working capital of Tk. 30,00). If the quick ratio was 0.5 : 1 on that date, what was the value of inventory?

Working capital = Current assets Current - liabilities 

30,000 = 1,00,000 - Current liabilities 

Current liabilities = 70,000 

Quick ratio = (Current assets - Inventory) / Current liabilities = 0.5 

0.5 = (1,00,000 - Inventory) / 70,000 

1,00,000 - Inventory = 35,000 

Inventory = 1,00,000 - 35,000 = 65,000 Tk