Athif trading company is a popular distributor in Salala, having operations in the entire Oman. Over these years, the company has gained a very good public opinion and quiet a big number of loyal customers. During the last year, the company has faced some financial struggles due to the pandemic- crisis. The company has decided to plan well for the current year based on the past performance so that the company will be able to regain its status. The management of the company has given with you the Income statement for the last year and asked you to calculate the gross profit and net profit margin Particular OMR Particular OMR Opening Stock Purchases Carriage and Freight Wages Gross Profit b/d 76250 By Sales 3,15 250 2,000 5,000 To 5,50,000 Closing stock 98,500 2,50,000 6,48,500 2,50,000 6,48,500 1,01,000 By Gross Profit b/d 12,000 "Non-operating incomes: 2,000 7,000 " Divde nd on shares 134,000 To Administra tion expenses " Selling and Dist. expenses "Non-operating expenses " Financial Expenses Net Profit c/d 1,500 3,750 "I nterest on Securities "Profit on sale of sha res 750 2,56,000 2,56,000 Choose the Gross profit margin and net profit margin of the business from the following options? O a. Gross profit margin is 24.36% and Net profit margin is 45.45% O b. Gross profit margin is 45.45% and the Net profit margin is 24.36% O c. Gross profit margin is 40% and Net profit margin is 30.66% VdoGross profit margin is 30.66% and Net profit margin is 40% al slacyl wỊ Jail
Athif trading company is a popular distributor in Salala, having operations in the entire Oman. Over these years, the company has gained a very good public opinion and quiet a big number of loyal customers. During the last year, the company has faced some financial struggles due to the pandemic- crisis. The company has decided to plan well for the current year based on the past performance so that the company will be able to regain its status. The management of the company has given with you the Income statement for the last year and asked you to calculate the gross profit and net profit margin Particular OMR Particular OMR Opening Stock Purchases Carriage and Freight Wages Gross Profit b/d 76250 By Sales 3,15 250 2,000 5,000 To 5,50,000 Closing stock 98,500 2,50,000 6,48,500 2,50,000 6,48,500 1,01,000 By Gross Profit b/d 12,000 "Non-operating incomes: 2,000 7,000 " Divde nd on shares 134,000 To Administra tion expenses " Selling and Dist. expenses "Non-operating expenses " Financial Expenses Net Profit c/d 1,500 3,750 "I nterest on Securities "Profit on sale of sha res 750 2,56,000 2,56,000 Choose the Gross profit margin and net profit margin of the business from the following options? O a. Gross profit margin is 24.36% and Net profit margin is 45.45% O b. Gross profit margin is 45.45% and the Net profit margin is 24.36% O c. Gross profit margin is 40% and Net profit margin is 30.66% VdoGross profit margin is 30.66% and Net profit margin is 40% al slacyl wỊ Jail
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Transcribed Image Text:Athif trading company is a popular distributor in Salala, having operations in the entire Oman. Over these years, the company has
gained a very good public opinion and quiet a big number of loyal customers. During the last year, the company has faced some
financial struggles due to the pandemic- crisis. The company has decided to plan well for the current year based on the past
performance so that the company will be able to regain its status.
The management of the company has given with you the Income statement for the last year and asked you to calculate the gross
profit and net profit margin
Particular
OMR
Particular
OMR
Opening Stock
Purchases
Carriage and Freight
Wages
Gross Profit b/d
76250 By Sales
3,15 250
2,000
5,000
2,50,000
6,48,500
1,01,000 By Gross Profit b/d
12,000 "Non-operating incomes:
2,000
7,000 "Divde nd on shares
134,000
2,56,000
To
5,50,000
Closing stock
98,500
6,48,500
2,50,000
To
Administra tion expenses
" Selling and Dist. expenses
"Non-operating expenses
" Financial Expe nses
Net Profit c/d
"I nterest on Securities
1,500
3,750
"Profit on sale of sha res
750
2,56,000
Choose the Gross profit margin and net profit margin of the business from the following options?
O a. Gross profit margin is 24.36% and Net profit margin is 45.45%
O b. Gross profit margin is 45.45% and the Net profit margin is 24.36%
O c. Gross profit margin is 40% and Net profit margin is 30.66%
Vd. Gross profit margin is 30.66% and Net profit margin is 40%
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