‘Purchase of goods Rs. 35,000 for cash will increase the operating ratio.’ Is the statement correct? Give reasons. Post category:Accountancy Reading time:1 mins read SOLUTION No; There will be equal increase in Purchases and Closing Inventory and hence cost of Revenue from Operations will remain unchanged. Please Share This Share this content Opens in a new window X Opens in a new window Facebook Opens in a new window Pinterest Opens in a new window LinkedIn Opens in a new window Viber Opens in a new window VK Opens in a new window Reddit Opens in a new window Tumblr Opens in a new window Viadeo Opens in a new window WhatsApp Read more articles Previous PostWhat will be the effect of purchase of goods for cash Rs. 3,000 on Gross Profit Ratio? (C.B.S.E. 2020; Kolkata. Lucknow) Next Post‘Sale of goods Rs. 23,000 for cash will not affect the operating ratio.’ Is the statement correct? Give reason. (C.B.S.E. 2020. Rajasthan) You Might Also Like In case Operating Cycle cannot be determined, what is the time period of operating cycle assumed? September 30, 2022 N, S and G were partners in a firm sharing profits and losses in the ratio of 2 : 3 : 5. On 31st March, 2016 their Balance Sheet was as under: August 3, 2022 A and B are partners sharing profits in the ratio of 3 : 2. C was admitted for 1/6th share of profit with a minimum guaranteed amount of Rs. 10,000. At the close of the first financial year the firm earned a profit of Rs. 54,000. Find out the share of profit which A, B and C will get. July 22, 2022 Leave a Reply Cancel replyYou must be logged in to post a comment.
In case Operating Cycle cannot be determined, what is the time period of operating cycle assumed? September 30, 2022
N, S and G were partners in a firm sharing profits and losses in the ratio of 2 : 3 : 5. On 31st March, 2016 their Balance Sheet was as under: August 3, 2022
A and B are partners sharing profits in the ratio of 3 : 2. C was admitted for 1/6th share of profit with a minimum guaranteed amount of Rs. 10,000. At the close of the first financial year the firm earned a profit of Rs. 54,000. Find out the share of profit which A, B and C will get. July 22, 2022