Question

Overvaluation of closing stock by 10%.Closing was Rs 44,000. Find the out value of closing stock. *​

Answer 1

Answer:

Undervaluation of closing stock by 10 %

Revised value =

B o o k v a l u e

100 − % o f u n d e r v a l u a t i o n × 100 Bookvalue100−%ofundervaluation×100 = 30 , 000 100 − 30 × 100 =30,000100−30×100 = ₹ 33,333. ∴ Value of closing stock = ₹ 33,333

Answer 2

Closing stock value 40000