Industries P&L data

The data given below pertains to seven different industry sector with respect to income, expenditure. Profits. Study the data and answer the questions.

1. Which of the following statements is wrong ?
(a) Depreciation expense is the lowest for food industry
(b) Power and fuel expenses are 5th largest item in the expenditure of diversified industries.
(c) Electricity industry earns more of other income as a percentage of total income compared to other industries.
(d) Raw material cost is the largest item of expense in all industry sectors

2. Depreciation as a percentage of total expenses is maximum in which industry sector ?
(a) Chemical
(b) Diversified
(c) Electricity
(d) Machinery

3. Which industry sector has ‘salaries and wages’ as 3rd largest item in its expenses?
(a) Food
(b) Services
(c) Textiles & Food
(d) Food & Machinery

4. If the industry sectors are ranked on the basis of‘Tax paid as a proportion of sales’ in the ascending order, then which industry will be placed at rank 3?
(a) Machinery
(b) Electricity
(c) Food
(d) Diversified

5. If the ranking is based on Profit Before Tax in the descending order, subject to the condition that ‘other expenses’ of all the industry sectors equals zero, then which of following statements is wrong?
(a) Rank of Chemical industry does not change
(b) Rank of electricity industry declines
(c) Diversified industry rank changes from 3rd to 4th
(d) Rank of food industry changes from 5th to 6th

For answers click here.