Question

calculate gross profit from the following by preparing trading account: coal gas and water 1520, carriage inward 1860, sales 120000, net purchase 72000, sales return 12000, purchase return 8000, opening stock 16000, closing stock 28000, productive wages 500, import duty 600, salary 1000​

Answer 1

Net sales 7,44,000

Add: Closing stock 50,400

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7,94,400

Less: Opening stock (48,600)

Purchases ( 30,000 + 6,00,000 - 6,000) (6,63,600)

Direct expenses (1,200 + 2,400 + 1,800 + 600) (7,800)

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74,400

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Answer 2

Answer:

Gross Profit = 51520

Trading Account is in the attachment ..

Salary is not a direct expenses. So, it wasn't shown in trading account.

Direct Expenses :

Direct expenses are the amount spend directly on the Purchase of goods. Eg : freight, carriage inwards, Octroi, Clearing charges, Power, gas, water, etc..