Question - 18

Convert the following statement into common size statement:

2004

Gross sales Rs. 30,600

(-) Retiurn Rs. 600

Net sales Rs. 30,000

(-) Cost of goods sold Rs. 18,200

Gross profit Rs. 11,800

(-) Operating expenses

Administrative exp. Rs. 3,000

Selling exp. Rds. 6,000

Total Exp. Rs. 9,000

Income from operations Rs. 2,800

Non operating income Rs. 300

Total income Rs. 3,100

(-) Non operating exp. Rs. 400

Net profit Rs. 2,700

2005

Gross sales Rs. 36,720

(-) Retiurn Rs. 700

Net sales Rs. 36,020

(-) Cost of goods sold Rs. 20,250

Gross profit Rs. 15,770

(-) Operating expenses

Administrative exp. Rs. 3,400

Selling exp. Rds. 6,600

Total Exp. Rs. 10,000

Income from operations Rs. 5,770

Non operating income Rs. 400

Total income Rs. 6,170

(-) Non operating exp. Rs. 600

Net profit Rs. 5,570.

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