Question

Munnabhai of Surat consigned 100 packets of medicine, each costing ` 500, to his agent Mamu

of Mumbai. He paid ` 1,000 towards freight and insurance. 10 packets were destroyed in transit.

The consignee took delivery of the remaining packets and spent ` 500 as godown rent, ` 2,000

as clearing charges, and ` 500 as selling expenses.

The consignee sold 70 packets @ ` 600 each.

You are required to calculate the cost of goods destroyed in transit and cost of goods in hand.​

Answer 1

Cost of each packet=500

Destroyed Goods. =10

=10×500

=5000

packet which reached is 70 packets

He sell each packet=Rs-600

70 packets. =Rs-600×70

=Rs-42000