Question

purchase 50000,sles 90000,closing stock 7000,manufacturing 5000, rate of gross profit 331 3% on cost what is opening stock?​

Answer 1

Answer:

stock turnover ratio = cost of goods ÷ avg stock

cosg = sales - gross profit

100% = 133.33 - 33.33 %

sales 90,000 = 133.33

GP x. = 33.33

GP = 90,000 ÷ 133.33 × 33.33 = 22,500

cogs = 90,000 - 22500 = 67,,500

cogs = op.stock + purchase+ D.exp - cl.stock

67,500 = op.stock + 50,000+5,000-7000

op.stock = 67,500 - 48,000

op.stock = 19,500