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      Question

      A company reports the following: • Revenue from

      Operations: ₹1,200 lakh • Gross Profit: ₹600 lakh • Operating Expenses: ₹400 lakh • Depreciation: ₹50 lakh What is the Operating Profit Margin?
      A 20% Correct Answer Incorrect Answer
      B 12.5% Correct Answer Incorrect Answer
      C 16.7% Correct Answer Incorrect Answer
      D 12% Correct Answer Incorrect Answer
      E 18% Correct Answer Incorrect Answer

      Solution

      Operating Profit = Gross Profit – Operating Expenses – Depreciation = 600 – 400 – 50 = ₹150 lakh Operating Margin = (150 / 1,200) × 100 = 12.5%

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