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How is the operating ratio calculated? - Accounts

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Question

How is the operating ratio calculated?

Very Short Answer
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Solution

The formula for calculating Operating Ratio is:

Operating Ratio = `("Cost of Revenue from Operations + Operating Expenses")/("Net Revenue from Operations") xx 100`

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Chapter 14: Ratio Analysis - SHORT ANSWER QUESTIONS [Page 14.112]

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D. K. Goel Accountancy Volume 1 and 2 [English] Class 12 ISC
Chapter 14 Ratio Analysis
SHORT ANSWER QUESTIONS | Q 72. b. | Page 14.112
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