The Operating Expense Ratio is classified as a/an:
- AIncome statement ratio.
- BBalance sheet ratio.
- CMixed ratio.
- DCombined ratio.
Solution & Step-by-step Explanation
The Operating Expense Ratio measures operating expenses relative to revenue from operations. Because both operating expenses and revenue from operations are items from the Statement of Profit and Loss (Income Statement), it is classified as an Income Statement Ratio.