Study the table and answers the questions.
Financial Statement of A company Over the years
(Rupees in Lakhs )
| Year | Gross Turnover | Profit before interesrt and depreciation | Interest Rs. | Deprciation Rs. | Net profit Rs. |
| 2000-01 | 1360.00 | 381.90 | 300.00 | 70.00 | 10.66 |
| 2001-02 | 1402.00 | 403.92 | 315.35 | 71.10 | 18.45 |
| 2002-03 | 1538.40 | 520.05 | 390.80 | 80.01 | 49.15 |
| 2003-04 | 2116.34 | 600.02 | 440.89 | 89.0 | 66.00 |
| 2005-06 | 2521.00 | 810.00 | 500.90 | 91.92 | 212.80 |
| 2006-07 | 2758.99 | 920.00 | 600.00 | 99.00 | 220.80 |
Q (1) During which year did the 'Net Profit ' exceed Rs. 1 crore for the first time ?
(a) 2006-07 (b)2005-06 (c) 2003-04
(d) 2002-03 (e) None of these
Solution :By looking at the table we find option (b) as correct
Q(2) During which year was the " Gross Turnover " closet to thrice the 'Profit before Interest and Depreciation' ?
(a) 2006-07 (b)2005-06 (c) 2003-04
(d) 2002-03 (e) 2001-02
Solution : Here we have to find out the ratio of "Gross turnover " to the "Profit before Interest and Depreciation "
for 2006-07 ratio = 2758.99 / 920 = 3.0 , since we get answer by hit and trial of first option only then we need not have to find other option.
So, correct option is (a) 2006-07
Q(3) During which of the given year did the 'Net profit ' form the highest proportion of the ' Profit before Interest and Depreciation ?
(a) 2005-06 (b) 2003-04 (c) 2002-03
(d) 2001-02 (e) 2000-01
Solution : Here we will find the reverse ths ratio between ( Profit before Interest and Depreciation / Net Profit ) and try to find lowest ratio also we use approximation for saving time
For 2005-06, 81 / 21 = 4 approx.
For 2003-04, 60 / 6.6 = 9 approx
For 2002-03, 520 / 50 = 10 approx
For 2001-02, 40 / 1.8 = 22 approx
For 2000-01, 380 / 10 = 38 approx
So, lowest ratio is for 2005-06 it means reverse ratio between (Net Profit / Profit before Interest and Depreciation ) will be highest, so option (a) is correct
Q(4) Which of the following registered the lowest increase in terms of rupees from the year 2005-06 to the year 2006-07 ?
(a) Gross turnover (b) Profit before interest and depreciation (c) Depreciation
(d) Interest (e) Net Profit
Solution : We calculation with approximation in mind
(a) 2758 - 2520= 2200 approx.
(b) 92 -81 =11= 110 approx
(c) 99 - 91.92 = 08.09 approx
(d) 600 - 505 = 95 approx
(e) 220 - 212= 08 approx
So correct option is (e) Net profit
Q(5) The gross Turnover for 2002-03 is of what percentage of the 'Gross Turnover ' for 2005-06 ?
(a) 61 (b) 163 (c) 0.611
(d) 39 (e) 0.006
Solution : 2002-03 Gross Turnover 1538.40
For 2005-06 Gross Turnover 2521.00
15/25 X 100=60 App
So option (a) is correct
