Bayt.com

Start networking and exchanging professional insights

Register now or log in to join your professional community.

Follow

If the average capital of a business is Rs. 60,000 and the normal rate of profit is 15%, then the normal profits will amount to—?

(i) Rs.10,000 

(ii) Rs.9,000 

(iii) Rs.15,000.

Accounting Financial Accounting
user-image
Question added by Mohammed Mohammed , Senior SAP Consultant , Abyat Mega Store
Date Posted: 2015/07/31
Upvote (0) Views (3) Followers (1) Answers (1) Report Question
Write an Answer
Register now or log in to answer.
Muhammad Talha Yousaf (ACA, ACCA, MSc, EY)
by Muhammad Talha Yousaf (ACA, ACCA, MSc, EY) , Finance Manager , Mark Industries

The answer is Rs.9,000. Average capital is to be multiplied by normal rate of profit.

Write Your Answer
More Questions Like This