Given, Total Assets Turnover 4 Net Profit 10% Total Assets Rs. 50,000 Net profit will be

Rs. 15,000
Rs. 10,000
Rs. 25,000
Rs. 20,000

The correct answer is A. Rs. 15,000.

Total Assets Turnover is a measure of how efficiently a company uses its assets to generate sales. It is calculated by dividing net sales by total assets. Net Profit is a measure of a company’s profitability. It is calculated by dividing net income by net sales. Total Assets is the total value of a company’s assets.

In this question, we are given the following information:

  • Total Assets Turnover = 4
  • Net Profit = 10%
  • Total Assets = Rs. 50,000

We can use this information to calculate net profit as follows:

Net Profit = Total Assets Turnover * Net Profit Margin * Total Assets

Net Profit = 4 * 10% * Rs. 50,000

Net Profit = Rs. 15,000

Therefore, the correct answer is A. Rs. 15,000.

Here is a brief explanation of each option:

  • Option A: Rs. 15,000. This is the correct answer. It is calculated by multiplying total assets turnover, net profit margin, and total assets.
  • Option B: Rs. 10,000. This is the net profit margin. It is calculated by dividing net income by net sales.
  • Option C: Rs. 25,000. This is the total assets turnover multiplied by the net profit margin. It is a measure of how efficiently a company uses its assets to generate sales.
  • Option D: Rs. 20,000. This is the net profit margin multiplied by total assets. It is a measure of a company’s profitability.