Question

calculate gross profit ratio, operating ratio and net profit ratio from the following data opening stock rs. 45000 purchase rs. 180000 sales rs. 310000 sales return rs. 10000 wages rs. 5000 closing stock rs. 50000 administrative expenses rs.60000 selling and distribution expenses rs. 12000​

Answer 1

Answer:

a) Sale of goods for Rs 40,000 (Cost Rs 32,000)- Increase ... (d) Purchase Return Rs 20,000- Increase ... Inventory Turnover Ratio 5 Times, Total sales ₹ 2,00,000, Gross Profit Ratio ...

Answer 2

Answer:

Gross profit ratio = (Gross profit/Net sales)*100

Operating ratio = (Operating profit/Net sales)*100

Net Profit ratio = (Net profit/ Net sales)*100

Solution-

GP ratio = (Net sales - COGS)/Net sales *100

= (300,000 - 180,000)/300,000 *100

= 40%

Operating ratio= GP - admin expenses/ Net sales *100

=60,000/300,000 *100

=20%

Net profit = 48000/300,000 *100

= 16%