Question

Goods purchased Rs. 1,20,000; Sales
Rs. 100.000. If margin 20% on Sales
then closing stock
O Rs. 40,000
O Rs. 20,000
O Rs. 10,000
O
Rs. 36,667​

Answer 1

Answer:

do reverse entry

Explanation:

because, if we have to close our stock

so we will have to do a reverse entry of it

Answer 2

Answer:

at the time of purchase

purchase account. Dr. 1,20,000

to cash account. 1,20,000

at the time of sales

cash Account. Dr. 1,00,000

P&L account. Dr. 20,000

to sales account. 1,20,000

your options second is correct answer bro

RS. 20,000