Question 129 Chapter 4 of +2-B
Table of Contents
Return on Capital Employed (or Return on Investment) Ratio
129. Net Profit before Interest and Tax Rs. 6,00,000; Net Fixed Assets Rs.
20,00,000; Net Working Capital Rs. 10,00,000; Current Assets Rs.
11,00,000. Calculate Return on Investment.
The solution of Question 129 Chapter 4 of +2-B: –
Net Profit before Interest and Tax | = | Rs. 6,00,000 |
Capital Employed | = | Net Fixed Assets + Net Working Capital |
= | Rs. 20,00,000 + Rs. 10,00,000 | |
= | Rs. 30,00,000 |
Net Profit Ratio | = | Profit before Interest and Tax | X | 100 |
Capital Employed |
Net Profit Ratio | = | Rs. 6,00,000 | X | 100 |
Rs. 30,00,000 | ||||
= | 20% |
Balance Sheet: Meaning, Format & Examples
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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
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