# Question 76 Chapter 4 of +2-B – T.S. Grewal 12 Class Question No. 76- Chapter No.4 - T.S. Grewal +2 Book Part B

Question 76 Chapter 4 of +2-B

Interest Coverage Ratio

76. From the following Information, calculate Inventory Turnover Ratio:
Credit Revenue from Operations 3,00,000; Cash Revenue from Operations 1,00,000, Gross Profit 25% of Cost, Closing Inventory was 3 times the Opening Inventory. Opening Inventory was 10% of Cost of Revenue from Operations.

### The solution of Question 76 Chapter 4 of +2-B: –

 Opening Inventory = @ 10% of Cost of Goods Sold = Rs. 30,000 Closing Inventory = Rs. 30,000 x 3 = Rs. 90,000 Cost of Revenue from Operations = Revenue from Operations – Gross Profit = Rs. 4,00,000 – Rs. 1,00,000 = Rs. 3,00,000

 Inventory Turnover Ratio = Cost of Revenue from Operations Average Inventory
 Inventory Turnover Ratio = Rs. 3,00,000 Rs. 60,000 = 5 Times

Balance Sheet: Meaning, Format & Examples

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