Practicing Success

Target Exam

CUET

Subject

Accountancy

Chapter

Accounting Ratios

Question:

What will be the net profit ratio of the company, if the net profit is ₹350000 and the revenue from operations is ₹2000000?

Options:

17.5%

17%

18%

18.5%

Correct Answer:

17.5%

Explanation:

Net Profit Ratio = Net profit/Revenue from Operations × 100
                       = 350000/ 2000000 X 100
                       = 17.5%