Accounting · Ratio Analysis
Arrange the following steps in the correct logical sequence for calculating the Net Profit Ratio: A. Calculate Net Profit after tax B. Identify Total Revenue from Operations (Net Sales) C. Apply the formula: Net Profit Ratio = Net ProfitRevenue from Operations × 100 D. Deduct operating expenses, interest, and taxes from gross profit
Verified Solution4 OptionsUpdated: October 2026👁️1 View
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- 1D -> A -> B -> C
- 2B -> A -> D -> C
- 3A -> B -> D -> C
- 4B -> D -> A -> C✓
Correct answer
B -> D -> A -> C
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