Question

net sale 500000 gross profit 25 percent on cost operating expenses 50000. calculate operating profit ratio​

Answer 1

Answer:

10%

Explanation:

Gross profit = 5 lac / 125% x 25% = 1 lac

Operating profit = 1 lac - 50,000 = 0.5 lac

Operating profit ratio = 0.5 lac / 5 lac = 10%