161 :- Cash Sales Rs 2,20,000; Credit Sales Rs 3,00,000; Sales Return Rs 20,000; Gross Profit Rs 1,00,000; Operating Expenses Rs 25,000; Non – operating Incomes Rs 30,000; Non – operating Expenses Rs 5,000. Calculate Net Profit Ratio.
Solution :-
Revenue from Operations = Cash Sales + Credit Sales – Sales Return
= 2,20,000 + 3,00,000 – 20,000
= Rs 5,00,000
Net Profit = Gross Profit + Non – Operating Income – Operating Expenses – Non – Operating Expenses
= 1,00,000 + 30,000 – 25,000 – 5,000
= Rs 1,00,000
Net Profit Ratio = Net Profit/Revenue from Operations x 100
= 1,00,000/5,00,000 x 100
= 20%