If the Gross profit is Rs. 5,000 and the net profit is 25% of the Gross profit. The expenses?
Answer: Rs. 3,750
Explanation
To solve this, we can follow these steps:
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Given:
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Gross Profit = Rs. 5,000
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Net Profit = 25% of Gross Profit
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Step 1: Calculate the Net Profit.
Since the
Step 2: Calculate the Expenses.
The relationship between Gross Profit, Net Profit, and Expenses is:
Gross Profit=Net Profit+Expenses
Rearranging this formula to find the expenses:
Expenses=Gross Profit−Net Profit
Now, substitute the values:
Expenses=5000−1250=Rs.3,750
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