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Question 125 Chapter 4 of +2-B
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Table of Contents
Net Profit Ratio
125. Revenue from Operations, i.e., Net Sales Rs. 8,20,000; Return 10,000;
Cost of Revenue from Operations Cost of Goods Sold 5,20,000; Operating
Expenses 2,09,000; Interest on Debentures 40,500; Gain Profit on Sale of
a Fixed Asset 81,000. Calculate Net Profit Ratio.
The solution of Question 125 Chapter 4 of +2-B: –
| Net Sales | = | Rs. 8,20,000 |
| Gross Profit | = | Net Sales – Cost of Goods Sold |
| = | Rs. 8,20,000 – Rs. 5,20,000 | |
| = | Rs. 3,00,000 | |
| Net Profit | = | Gross Profit – Operating Expenses – Interest on Debentures + Profit on Sale of Fixed Asset |
| = | Rs. 3,00,000 – Rs. 2,09,000 – Rs. 40,500 – 81,000 | |
| = | Rs. 1,31,500 |
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| Net Profit Ratio | = | Net Profit | X | 100 |
| Net Sales |
| Net Profit Ratio | = | Rs. 1,31,500 | X | 100 |
| Rs. 8,20,000 | ||||
| = | 16.04% |
Balance Sheet: Meaning, Format & Examples
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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
