Question

Calculate Gross profit and cost of goods sold
from the following information net sales
140000 and gross profit 40 % on cost.
A 10000 & 100000
B. 56000 & 84000
C. 56000 & 100000
D. 40000 & 80000​

Answer 1

Question:-

• Calculate Gross profit and cost of goods sold from the following information net sales 140000 and gross profit 40 % on cost.

Given:-

• Gross profit and cost of goods sold from the following information net sales 140000 and gross profit 40 % on cost.

To Find:-

• Find the gross profit.

Solution:-

Here ,

Net Sale = Cost of Goods Sold + Gross Profit

Substituting the Values:-

$\tt\implies \: 140000 = x + \dfrac{ 40 } { 100 } \times x$

$\tt\implies \: 140000 = x + \dfrac{ 40x } { 100 }$

$\tt\implies \: 140000 = \dfrac{ 7x } { 5 }$

$\tt\implies \: x = \dfrac{ 140000 \times 5 } { 7 }$

$\tt\implies \: 1,00,000$

Now ,

Gross profit = Net sale - Cost of Goods sold

$\tt\implies \: 140000 - 100000 = 40,000$