Calculate the Operating Ratio from the following information: Particulars Amount (₹) Revenue from Operations (Cash + Credit) 25,00,000 Purchases (Cash + Credit) 12,00,000 Carriage Inward 20,000 Salaries 1,45,000 Wages 85,000 Increase in Inventory 50,000

Operating Ratio is calculated using the formula: Operating Ratio = (Operating Cost / Revenue from Operations) × 100 Step 1: Calculate Cost of Goods Sold (COGS) COGS = Purchases + Carriage Inward - Increase in Inventory = 12,00,000 + 20,000 - 50,000 = 11,70,000 Step 2: Operating Expenses Operating Expenses = Salaries + Wages = 1,45,000 + 85,000 = 2,30,000 Step 3: Operating Cost Operating Cost = COGS + Operating Expenses = 11,70,000 + 2,30,000 = 14,00,000 Step 4: Calculate Operating Ratio Operating Ratio = (14,00,000 / 25,00,000) × 100 = 56% Answer: Operating Ratio = 56%

Calculate ‘Operating Ratio’ from the following information:

Particulars	Amount (₹)
Revenue from Operations (Cash + Credit)	25,00,000
Purchases (Cash + Credit)	12,00,000
Carriage Inward	20,000
Salaries	1,45,000
Wages	85,000
Increase in Inventory	50,000

A, B, C, and D share profit and loss in the ratio of 4 : 3 : 2 : 1. The partnership was dissolved on 31st March, 2024. The firm’s balance sheet on this date was as follows:

Liabilities	Amount (Rs.)	Assets	Amount (Rs.)
Creditors	1,20,000	Cash at Bank	8,000
Bills Payable	20,000	Bills Receivable	40,000
Capital A	80,000	Debtors	1,40,000
Capital C	1,20,000	Stock	92,000
		Capital B	40,000
		Capital D	20,000
Total	3,40,000	Total	3,40,000

90% of Book value was realised from Debtors and Bills Receivable. Stock could be sold for ₹ 78,000. Outstanding salary of ₹ 2,000, which was not shown in the Balance Sheet, was also paid. The realisation expenses amounted to ₹ 6,000.
B is insolvent and only ₹ 32,000 could be recovered from him. The rule of Garner v/s Murray shall apply.
Prepare Realisation Account and Partners' Capital Account.