Cost of goods sold: ₹4,00,000 Administration and office expenses: ₹35,000 Selling and distribution expenses: ₹45,000 Net credit sales: ₹4,75,000 Cash sales: ₹1,25,000 Operating profit ratio will be —

CS Executive · Cost and Management Accounting · PYQS · June 2016
Cost of goods sold: ₹4,00,000 Administration and office expenses: ₹35,000 Selling and distribution expenses: ₹45,000 Net credit sales: ₹4,75,000 Cash sales: ₹1,25,000 Operating profit ratio will be —
(A) 30%
(B) 35%
(C) 20%
(D) 25%.

Answer & Explanation:

Correct Answer: Option (C)

Official answer key: (C).

Topics: Financial Statement Analysis

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