Question 55 Chapter 7 – Unimax Publication Class 12 Part 2 – 2021
Table of Contents
55. Net profit after interest but before tax 2,80,000, 10% long-term debts 8,00,000; shareholder’s funds 4,80,000; tax rate 50%. Calculate return on capital employed.
The solution of Question 55 Chapter 7 – Unimax Publication Class 12 Part 2-2021 : –
| Return on capital employed | = | Net profit before interest and tax | x | 100 |
| Capital Employed |
| Calculation of profit before interest &tax: | |
| Net profit after interest but before tax | 2,80,000 |
| + Interest (10% on 8,00,000) | 80,000 |
| Net profit before int & tax | 3,60,000 |
| Capital employed | = | share holder’s funds + long term debts |
| = | 4,80,000 + 8,00,000 = 12,80,000 |
| Return on capital employed | = | 3,60,000 | x | 100 | = | 28.13% |
| 12,80,000 |
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Accounting Ratios – Meaning and Definition
Unimax Publication – Accountancy PSEB Class 12 – Volume I – Solution
- Chapter No. 1 – Accounting Not for Profit Organisations
- Chapter No. 2 – Partnership Accounts – I (Introduction)
- Chapter No. 3 – Partnership Accounts – II (Goodwill: Nature and Valuation)
- Chapter No. 4 – Partnership Accounts – III (Change in Profit sharing ratio among Existing Partners )
- Chapter No. 5 – Partnership Accounts – IV (Admission of A Partner)
- Chapter No. 6 – Partnership Accounts – V (Retirement and Death of A Partner)
- Chapter No. 7 – Partnership Accounts – VI (Dissolution of Partnership Firm)
Unimax Publication – Accountancy PSEB (Class 12) – Part – II – Solution
- Chapter No. 1 – Company Accounts (Share Capital)
- Chapter No. 2 – Company Accounts (Issue of Debentures)
- Chapter No. 3 – Company Accounts (Redemption of Debentures)
- Chapter No. 4 – Financial Statements of a Company
- Chapter No. 5 – Financial Statement Analysis
- Chapter No. 6 – Tools of Financial Statement Analysis- Comparative and Common Size
- Chapter No. 7 – Ratio Analysis
- Chapter No. 8 – Cash Flow Statement
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