If profit before interest and tax is £60,000 and capital employed is £800,000, the return on capital employed is:
1.33%
7.5%
13.33%
75%
If gross profit is £100,000 and turnover is £125,000, the gross profit margin is:
0.08%
1.25%
80%
125%
If profit before interest and tax is £50,000 and turnover is £125,000, the net profit margin is:
0.04%
2.50%
25%
40%
If stock (inventory) is £2,000, trade debtors are £22,000, trade creditors are £7,000, cash in hand is £6,000 and overdraft is £6,000, the acid test ratio is:
25: 1
2.5: 1
2.25:1
2.15:1
If trade debtors are £13,100 and turnover is £132,500, the debtor collection period is:
36 days
10 weeks
9 months
none of these
The creditor payment period in days is calculated by:
dividing debtors by purchases and multiplying by 365
dividing debtors by sales and multiplying by 365
dividing creditors by purchases and multiplying by 365
dividing creditors by sales and multiplying by 365