128 :- Based on the following information, calculate Net Assets or Capital Employed Turnover Ratio :
Shareholder’s Funds Rs 20,00,000; Equity Share Capital Rs 10,00,000; Reserves and Surplus Rs 10,00,000; 8% Debentures Rs 10,00,000 and Revenue from Operations Rs 75,00,000.
Solution :-
Capital Employed = Shareholder’s Funds + Long term Borrowings = 20,00,000 + 10,00,000
= Rs 30,00,000
Net Assets Turnover Ratio = Revenue from Operations/Capital Employed
= 75,00,000/30,00,000
= 2.5 Times