149 :- From the following information, calculate Operating Ratio:
Solution :-
Operating Cost = Cost of Revenue from Operations + Operating Expenses
= 52,000 + 18,000
= Rs 70,000
Revenue from Operations = Gross Sales – Sales Return
= 88,000 – 8,000
= Rs 80,000
Operating Ratio = (Operating Cost/Revenue from Operations) x 100
= (70,000/80,000) x 100
= 87.5%