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Question 129 Chapter 4 of +2-B – T.S. Grewal 12 Class

Question 129 Chapter 4 of +2-B
Question No. 129- Chapter No.4 - T.S. Grewal +2 Book Part B

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Question 129 Chapter 4 of +2-B

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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 TaxX100
Capital Employed
Net Profit Ratio=Rs. 6,00,000X100
Rs. 30,00,000
 =20%  

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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)

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

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

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

Question 1 Chapter 1 of +2-B
T.S. Grewal’s Analysis of Financial Statements

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