Question
A trader carries an average inventory of Rs. 40,000.
His inventory turnover ratio is 8 times. If he sells goods at a profit of 20% on Revenue from operations, find out the gross profit.Solution
Inventory Turnover Ratio =Cost of Revenue from Operations/Average Inventory Cost of Revenue from operations = 8 × Rs. 40,000 = Rs. 3,20,000 Revenue from operations = Cost of Revenue from operations ×100/80 = Rs. 3,20,000 ×100/80 = Rs. 4,00,000 Gross Profit = Revenue from operations – Cost of Revenue from operations = Rs. 4,00,000 – Rs. 3,20,000 = Rs. 80,000
Airbnb will invest $100mn inIndian hotel startup OYO. . Airbnb deals in Which service ?
What percentage of the full-year target did the fiscal deficit touch for the April-December period of FY24, according to data by the Controller General ...
In which of the following years was the ‘Project Elephant’ launched by the Government of India?
Which Indian state achieved the first rank in the composite SDG Index according to the Baseline Report released by NITI Aayog?
Which vitamin is crucial for facilitating calcium absorption in animals? Â
Which substance changes the rate of chemical reactions and remains chemically different during reaction?
DB Insurance, formerly known as Dongbu Insurance, is an insurance company providing automobile, health, pension, and life insurance. Which country is it...
Which tournament is the world’s oldest and most prestigious badminton championship?
Which of the following is the largest cultivable valley in the Himalayas ?
Which metro has become first ever to receive power generated from a waste to energy plant?
Relevant for Exams:
