Q8. Calculate Operating Profit from the following: Net Profit Rs. 4,00,000 ; Dividend received Rs. 13,000 ; Salaries Rs. 1,00,000 ; Donation Rs. 6,300; Loss on sale of Furniture 18,000 ; Interest on Bank Loan Rs.25,000; Loss by fire Rs. 5,000 ; Interest on Investments Rs, 3,000.
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Answer:
Double Entry Book Keeping Ts Grewal 2018 Solutions for Class 11 Commerce Accountancy Chapter 15 Adjustments In Preparation Of Financial Statements are provided here with simple step-by-step explanations. These solutions for Adjustments In Preparation Of Financial Statements are extremely popular among Class 11 Commerce students for Accountancy Adjustments In Preparation Of Financial Statements Solutions come handy for quickly completing your homework and preparing for exams.
Answer:
Explanation:
Operating Profit = Net profit - Dividend received + Salary - Donation + Loss on sale + Interest on loan + Loss by fire - Interest on Investment
Given
- Net profit = 4,00,000
- Dividend received = 13,000
- Salary = 1,00,000
- Donation = 6,300
- Loss on sale = 18,000
- Interest on bank loan = 25,000
- Loss by fire = 5,000
- Interest on Investment = 3,000
Operating profit = 4,00,000 - 13,000 + 1,00,000 - 6,300 + 18,000 + 25,000 + 5,000 - 3,000 = 5,27,700