4. Cost of goods sold Rs. 5,40,000, rate of profit 25% on sales.
Sales
Answers
Answered by
3
Explanation:
let sales be x
then gross profit=25%of x
=X/4
Sales= cogs+gross profit
X= 540,000+X/4
X=2160,000+X/4
4X=2160,000+X
3X= 2160,000
X=2160,000/3
X=72,000/-
X=sales=72,000
Answered by
8
Appropriate Question:
Cost of goods sold Rs. 5,40,000, rate of profit 25% on sales.
Sales = ??
Answer:
Net Sales = Rs. 7,20,000
Explanation:
Let,
Net Sales = x
Net Sales = Cost of Goods Sold + Gross Profit
⇒ x = 5,40,000 + 25% of x
⇒ 5,40,000 = x - 25% of x
⇒ 5,40,000 = x - 25x/100
⇒ 5,40,000 = x - 0.25x
⇒ 5,40,000 = 0.75x
⇒ x = 5,40,000 / 0.75
⇒ x = 7,20,000
Net Sales = Rs. 7,20,000
∴ Net Sales = Rs. 7,20,000
★ Verification :
- Gross Profit =
25% of Net Sales = 7,20,000 × 25/100
⇒ 1,80,000
Gross Profit = Rs. 1,80,000
⇒ COGS + GP = Net Sales
⇒ 5,40,000 + 1,80,000 = 7,20,000
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