Calculate Profit/Loss from following.
|
Revenue from operation |
₹60,00,000 |
|
Other income |
₹1,50,000 |
|
Income tax |
35% |
|
Employees benefit expense |
₹4,00,000 |
|
Other expenses |
₹40,00,000 |
Answer & explanation
Correct answer: option 4
The correct answer is Option (4) - ₹11,37,500.
Total revenue = Revenue from operations + Other income
= 60,00,000 + 1,50,000
= 61,50,000
Total expenses = Employees benefit expense + Other expenses
= 40,00,000 + 4,00,000
= 44,00,000
Profit before tax = Total revenue - Total expenses
= 61,50,000 - 44,00,000
= 17,50,000
Income tax = 35%
Income tax = 17,50,000 x 35/100
= 6,12,500
Profit after tax = Profit before tax - Income tax
= 17,50,000 - 6,12,500
= 11,37,500