Accounting 9706 · AS & A Level · Analysis and communication of accounting information

Analysis and communication of accounting information — practice question

The extract below comes from an income statement. revenue $180000$ cost of goods sold $(75000)$ distribution costs $(8000)$ administrative expenses $(22000)$ profit from operations $75000$ debenture interest $(2500)$ profit for the year $72500$ What was the ratio between operating expenses and revenue?

  • A$16.7\%$
  • B$18.1\%$
  • C$58.3\%$
  • D$59.7\%$

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