question_answer

Prepare common-size statement of profit and loss from the following statement of profit and loss: Statement of Profit and Loss for the year ending 31st March, 2018

	Particulars	Note No.	21st March 2018 Amt (Rs.)
I.	Income
	Revenue from Operations		10,00,000
	Other Income		2,00,000
	Total Revenue		12,00,000
II.	Expenses
	Purchases of Stock-in-trade		5,00,000
	Change in Inventories of Stock-in-trade		2,50,000
	Other Expenses		1,50,000
	Total		9,00,000
III.	Net Profit before Tax (I-II)		3,00,000

Answer:

Common Size Statement of Profit and Loss For the year ending 31st March, 2018

	Particulars	Note No.	Absolute Amount 31st March, 2018 (Rs.)	Percentage of Revenue from Operations 31st March, 2018 (Rs.)
I.	Revenue from Operations		10,00,000	100
II.	Other Income		2,00,000	20
III.	Total Income		12,00,000	120
IV.	Expenses
	(a) Purchases of Stock?in-trade		5,00,000	50
	(b) Changes in Inventories of Stock-in-trade		2,50,000	25
	(c) Other Expenses		1,50,000	15
	Total Expenses		9,00,000	90
V.	Profit before Tax (III-IV)		3,00,000	30