Practice - Operating Profit Ratio
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Practice Questions
Test your understanding with targeted questions
Define Operating Profit Ratio.
💡 Hint: Think about what profit relates to company operations.
What is included in Operating Profit?
💡 Hint: It's before interest and tax!
4 more questions available
Interactive Quizzes
Quick quizzes to reinforce your learning
What does the Operating Profit Ratio measure?
💡 Hint: Focus on the core functions of a business.
True or False: A higher Operating Profit Ratio is always better.
💡 Hint: Consider what the ratio signifies.
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Challenge Problems
Push your limits with advanced challenges
A new coffee shop has net sales of ₹300,000 and operating profit of ₹60,000. Calculate the Operating Profit Ratio and discuss what this implies for the business.
💡 Hint: Break it down using the formula discussed.
If the OPR for two companies in the fast-food industry are 22% and 18%, what might this indicate about their operational efficiency?
💡 Hint: Consider how profitability ratios reflect company performance.
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