Question

Calculate values of opening and closing inventories - revenue from operations 600000, gross profit ratio 25% inventory turnover ratio 5 times, closing inventory is 12000 more than the opening inventory

Answer 1

Answer:

opening inventory=9000

closing inventory= 21000

Explanation:

I. t. r. =g.p.÷average inventory

average inventory=o.i.+c.i.÷2