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Question 33 of 38
Q.

Calculate Gross Profit ratio from the following :

Particulars₹
Revenue from operations2,00,000
Cost of Revenue from operations1,60,000
Purchases1,25,000
Puducherry TnboardTamil Nadu HSC (DGE) Commerce Board 2025Subjective· 2mImportance★★★★★
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The gross profit ratio is 20%.

The gross profit ratio measures gross profit as a percentage of revenue from operations (Ratio Analysis, TN HSC Commerce):

Gross Profit Ratio = (Gross Profit ÷ Revenue from operations) × 100

Step 1 — Gross Profit = Revenue from operations − Cost of revenue from operations

= 2,00,000 − 1,60,000 = ₹ 40,000.

(The Purchases figure of ₹ 1,25,000 is not required, as the cost of revenue from operations is already given.)

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