Question

Multiple Choice Questions (2) 1. Mr. A a dealer of construction material, due to unavoidable reasons took physical stock of inventories on 11th April. The cost of stock was * 4,20,000 (including goods received on consignment). The dealer received goods costing 1,00,000 in March for sale on consignment basis. 20% of the goods had been sold before 31st March and 60% between 1st April & 10th April. What was the cost of stock as at 31st March?
(a) * 3,20,000 (b) 4,00,000 (c) 3,40,000 (d) 3,60,000 ​

Answer 1

Answer:

Option B is correct 400000

stock without including consignment goods

420000-100000=320000

consignment goods 20%sold in march and 80%goods are unsold means in value 100000*80/100=80000

so value of stock on 31st March is 320000+80000=400000