GK
ACCOUNTING
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Net cash sales
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Net credit sales
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Net total sales
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Capital employed
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Detailed explanation-1: -It is calculated by the following formula: Net Profit / Net Sales x 100, where Net Sales = Total Sales – Sales Returns. Was this answer helpful?
Detailed explanation-2: -What is the Net Profit Ratio? The net profit percentage is the ratio of after-tax profits to net sales. It reveals the remaining profit after all costs of production, administration, and financing have been deducted from sales, and income taxes recognized.
Detailed explanation-3: -The net profit margin ratio shows the percentage of sales revenue a company keeps after covering all of its costs including interest and taxes. It is one of five calculations used to measure profitability.
Detailed explanation-4: -13. Net profit ratio is calculated by dividing net profit after interest and tax by net sales.