Question 128 Chapter 4 of +2-B - T.S. Grewal 12 Class

Question 128 Chapter 4 of +2-B

Return on Capital Employed (or Return on Investment) Ratio

128. Net Profit before Interest and Tax Rs 2,50,000; Capital Employed Rs
10,00,000.
Calculate Return on Investment.

 

The solution of Question 128 Chapter 4 of +2-B: -

 

Net Profit before Interest and Tax	=	Rs. 2,50,000
Capital Employed	=	Rs. 10,00,000

Net Profit Ratio	=	Profit before Interest and Tax	X	100
		Capital Employed

Net Profit Ratio	=	Rs. 2,50,000	X	100
		Rs. 10,00,000
	=	25%

 

 

https://tutorstips.com/balance-sheet/

Thanks, Please Like and share with your friends  

Comment if you have any question.

Also, Check out the solved question of previous Chapters: -

T.S. Grewal’s Double Entry Book Keeping +2 (Vol. I: Accounting for Not-for-Profit Organizations and Partnership Firms)

• Chapter No. 1 - Financial Statement of Not-For-Profit Organisations
• Chapter No. 2 - Accounting for Partnership Firms - Fundamentals
• Chapter No. 3 - Goodwill: Nature and Valuation
• Chapter No. 4 - Change in Profit-Sharing Ratio Among the Existing Partners
• Chapter No. 5 - Admission of a Partner
• Chapter No. 6 - Retirement/Death of a Partner
• Chapter No. 7 - Dissolution of a Partnership Firm

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 8 - Company Accounts -  Accounting for Share Capital
• Chapter No. 9 - Company Accounts - Issue of Debentures
• Chapter No. 10 - Redemption of Debentures

T.S. Grewal’s Double Entry Book Keeping (Vol. II: Accounting for Companies)

• Chapter No. 1 - Financial Statements of a Company
• Chapter No. 2 - Financial Statement Analysis 
• Chapter No. 3 - Tools of Financial Statement Analysis - Comparative Statements and Common- Size Statements
• Chapter No. 4 - Accounting Ratios
• Chapter No. 5 - Cash Flow Statement

Check out T.S. Grewal +2 Book 2020@ Official Website of Sultan Chand Publication