Q. 1) A trader prepared his accounts on 31st March, each year. Due to some unavoidable
reasons, no stock taking could be possible till 15th April, 2020 on which date the total cost of
goods in his godown came to Rs. 50,000. The following facts were established between 31st
March and 15th April, 2020.
i. Sales Rs. 41,000 ( including cash sales Rs. 10,000) & Purchases Rs. 5,034 ( including cash
purchases Rs. 1,990)
ii. Sales Return Rs. 1,000
iii. On 15th March, goods of the sale value of Rs. 10,000 were sent on sale or return basis to a
customer, the period pf approval being four weeks. He returned 40% of The goodson 10th
April, approving the rest, the customer was billed on 16th April.
iv. The trader had also received goods costing Rs. 8,000 in March, for sale on consignment
basis; 20% of the goods had been sold by 31st March, and another 50% by the 15th April.
These sales are not including in above sales. Goods are sold by the trader at a profit of
20% on sales.
Answers
Answer:
Explanation: answer of this question is 79,366 (Cost of inventory)
Stock on 31st March 2020 is
Here, is the calculation for the stock:
Particulars Amount
Value of stock on 15th April 2020 50,000
Add: sales return in between 31st March
and 15th April (41,000 - 1,000): 40,000
Less: gross profit @20% : (8,000)
______________________________ 32,000
82,000
Add: 40% goods sent on approval basis: 4,000
Less: gross profit @20% : (800)
______________________________ 3,200
85,200
Less: purchase from 1st April to 15th April : (5,034)
Less: 50% stock on consignment : (4000)
________________________ (9,034)
Stock on 31st march: 76,166