Question

Total Revenue from Operations Rs. 15,00,000, Cost of Revenue from Operations Rs. 9,00,000 and Operating Expenses Rs. 2,25,000. Calculate operating ratio:
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Answer 1

225000/1500000is your answer.

Mark as brainliest please!!!!!!!!!

Answer 2

Operating Ratio = Cost of Revenue from Operations + Operating Expenses / Net Revenue from Operations

• Operating ratios are the ratios that tell the efficiency of an organization that compares the operating expenses to the net sales.
• If the operating ratios are decreasing then it becomes a positive sign for the organisation.
• Operating ratio even help investors to compare between two companies.

From the above question,

Cost of Revenue from Operations = 9,00,000

Operating Expenses = 2,25,000

Total Revenue from Operations = 15,00,000

Operating Ratio = 9,00,000 + 2,25,000/ 15,00,000

Operating Ratio = 9,00,000 + 2,25,000/ 15,00,000 = 11,25,000/15,00,000 × 100

Operating Ratio = 9,00,000 + 2,25,000/ 15,00,000 = 11,25,000/15,00,000 × 100 = 75%