Question

From the following balances obtained from the records of Mr. Shankar, Prepare the Trading Account for

the year ending 31st March 2020.

₹

Opening Stock 2,00,000

Purchases for the year 20,00,000

Sales for the year 35,00,000

Carriage inwards 10,000

Closing stock is valued 5,00,000​

Answer 1

To Gross Profit 1790000

Explanation:

                                         Trading A/c

Particulars                      Amount     Particulars                            Amount

To Opening Stock         200000     By Sales                               3500000

To Purchase                  2000000   By Closing Stock                 500000

To Carriage Inward       10000        

To Gross Profit               1790000

                                      4000000                                                4000000