Question

cash purchase are 70000 credit purchase are 110000 and trade discount is 18000. what is the net purchase?​

Answer 1

Net Purchases = Cash Purchase + Credit Purchase - Trade Discount

= 70,000 + 1,10,000 - 18,000

= 1,62,000

Answer 2

Given:

Cash purchase=Rs.70,000

Credit purchase=Rs.1,10,000

Trade discount=Rs.18,000

To find:

The amount of net purchase

Solution:

The required amount of net purchase is Rs.1,62,000.

We will obtain the total purchases and then minus the discount given to calculate the net value.

The total amount of purchases= cash purchase+credit purchase

=70,000+1,10,000

=Rs.1,80,000

Now, we will deduct the amount of the given trade discount to calculate the required amount of net purchases.

So, net purchase=total purchases-trade discount amount

Using the values,

=1,80,000-18,000

=Rs.1,62,000

Therefore, the total amount of net purchase is Rs.1,62,000.