# 12th | Ts grewal 2021-2022 Question 131 to 135 | ch:4 Accounting Ratios

#### Question 131:

Revenue from Operations  ` 9,00,000; Gross Profit 25% on Cost; Operating Expenses  ` 45,000. Calculate Operating Profit Ratio.

Gross Profit

= 9,00,000×25/125

=  ` 1,80,000

Operating Profit

=Gross Profit-Operating Expenses

=1,80,000-45,000

= ` 1,35,000

Operating Profit Ratio

=Operating Profit/Revenue from Operations×100

=1,35,000/9,00,000×100

#### Question 132:

Operating Cost  ` 3,40,000; Gross Profit Ratio 20%; Operating Expenses  ` 20,000. Calculate Operating Profit Ratio.

 Cost of Revenue from Operations = Operating Cost-Operating Expenses = 3,40,000-20,000 =  ` 3,20,000 Gross Profit = 3,20,000×20/80 =  ` 80,000 Revenue from Operations = Cost of Revenue from Operations + Gross Profit = 3,20,000+80,000 =  ` 4,00,000 Operating Profit = Revenue from Operations-Operating Cost = 4,00,000−3,40,000 =  ` 60,000 Operating Profit Ratio = Operating Profit/Revenue from Operations×100                                  = 60,000/4,00,000×100 = 15%

#### Calculate Operating Profit Ratio from the following

Revenue from Operations (Net Sales) `5,00,000

Cost of Revenue from Operations (Cost of Goods Sold) `2,00,000

Wages `1,00,000

Interest on Borrowings `5,000

Operating Profit= Sales – Cost of Goods Sold- Office and Administrative Expenses

Operating Profit=5,00,000-2,00,000-50,000

Operating Profit=2,50,000

Operating Profit Ratio=2,50,000×100/5,00,000 = 50%

Operating Profit Ratio = 50%

#### Question 134:

Calculate Operating Profit Ratio from the following information:

 Opening Inventory `1,00,000 Closing Inventory `1,50,000 Purchases ` 10,00,000 Loss by fire ` 20,000 Revenue from Operations, i.e., Net Sales ` 14,70,000 Dividend Received ` 30,000 Administrative and Selling Expenses ` 1,70,000

Cost of Goods Sold = Opening Inventory + Purchases – Closing Inventory
= 1,00,000 + 10,00,000 – 1,50,000 = 9,50,000
Operating Expenses = Administrative and Selling Expenses = 1,70,000
Operating Cost = Cost of Goods Sold + Operating Expenses
= 9,50,000 + 1,70,000 = 11,20,000
Net Sales = 14,70,000

Operating Ratio= Operating Cost/ Net Sales ×100

=11,20,000/14,70,000× 100=76.19%

Operating Profit Ratio = 100 – Operating Ratio = 100 – 76.19 = 23.81%

#### Question 135:

What will be the Operating Profit Ratio, if Operating Ratio is 82.59%?