81 Views

Question : What will be the gross profit ratio:
If Credit Revenue from Operations is Rs.7,00,000, Cash Revenue from Operations is Rs.1,00,000. The cost of Revenue from Operations is Rs.6,40,000.

Option 1: 30%

Option 2: 10%

Option 3: 25%

Option 4: 20%


Team Careers360 25th Jan, 2024
Answer (1)
Team Careers360 27th Jan, 2024

Correct Answer: 20%


Solution : Total revenue:  Credit Revenue from Operations + Cash Revenue from Operations
Total revenue : 7,00,000 + 1,00,000 = 8,00,000
Gross Profit = Total revenue - Cost of Revenue from Operations = 8,00,000-6,40,000 = 1,60,000
Gross Profit Ratio = Gross profit/Total revenue = 1,60,000/8,00,000 = 20%
Hence option 4 is the correct answer.

Related Questions

UEI Global, Hotel Management ...
Apply
Training & Placement Guarantee | Top Recruiters: The Oberoi, Taj, Lee Meridien, Hyatt and many more
VIT Bhopal University | M.Tec...
Apply
M.Tech admissions open @ VIT Bhopal University | Highest CTC 52 LPA | Apply now
Amity University | M.Tech Adm...
Apply
Ranked amongst top 3% universities globally (QS Rankings).
Graphic Era (Deemed to be Uni...
Apply
NAAC A+ Grade | Among top 100 universities of India (NIRF 2024) | 40 crore+ scholarships distributed
IBSAT 2025-ICFAI Business Sch...
Apply
IBSAT 2025-Your gateway to MBA/PGPM @ IBS Hyderabad and 8 other IBS campuses | Scholarships worth 10 CR
Amity University Noida B.Tech...
Apply
Among Top 30 National Universities for Engineering (NIRF 2024) | 30+ Specializations | AI Powered Learning & State-of-the-Art Facilities
View All Application Forms

Download the Careers360 App on your Android phone

Regular exam updates, QnA, Predictors, College Applications & E-books now on your Mobile

150M+ Students
30,000+ Colleges
500+ Exams
1500+ E-books