If Gross Profit is 1/4th of cost, Sales is ₹4,00,000 and Indirect Expenses are ₹24,000, what will be the Net Profit Ratio?

CS Executive · Corporate and Management Accounting · PYQS · June 2022
If Gross Profit is 1/4th of cost, Sales is ₹4,00,000 and Indirect Expenses are ₹24,000, what will be the Net Profit Ratio?
(A) 14%
(B) 19%
(C) 20%
(D) 25%

Answer & Explanation:

Correct Answer: Option (A)

Official answer key: (A).

Topics: Management Accounting

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