CUET Preparation Today
Radha Ltd has invested ₹100,000 in the business. Out of which ₹ 70,000 is equity and ₹ 30,000 is debt. Net Profit after tax is 24,000. Tax rate is 20%. Calculate ROI. |
20% 25% 30% 40% |
30% |
Profit before tax= (24,000+6,000) i.e 30,000 (Tax rate is 20% so tax =6000) ROI= EBIT /Total Investment × 100 ROI=30,000/100,000*100=30% |
