Question

Q9 If the rate of gross profit is 1/4 of cost of goods sold and sales are ₹ 2,00,000
the amount of gross profit will be : (a)50,000
(b) 40,000
(c) * 66,667
(d) * 60,000​

Answer 1

Answer:

(b). 40,000

The amount of Gross Profit will be ₹ 40,000

Explanation:

Given :

• The rate of Gross Profit is 1/4 of Cost Of Goods Sold

• Net Sales = ₹ 2,00,000

To find :

• The amount of Gross Profit

Solution :

Net Sales = Cost Of Goods Sold + Gross Profit

Let,

Cost Of Goods Sold = x

$\longrightarrow$ 2,00,000 = x + 1/4 of x

$\longrightarrow 2,00,000 = x+ \dfrac{ 1 }{ 4 } x$

$\longrightarrow 2,00,000=\dfrac{5}{4}x$

$\longrightarrow\dfrac{5}{4}x=2,00,000$

$\longrightarrow x = 2,00,000\times \left(\dfrac{4}{5}\right)$

$\longrightarrow x = \dfrac{2,00,000\times 4}{5}$

$\longrightarrow x = \dfrac{8,00,000}{5}$

$\longrightarrow$ x = 160000

Cost Of Goods Sold = ₹ 1,60,000

Gross Profit = Net Sales - Cost Of Goods Sold

$\longrightarrow$ 2,00,000 - 1,60,000

$\longrightarrow$ 40,000

Gross Profit = 40,000 (1/4 of Cost Of Goods Sold)

Gross Profit = ₹ 40,000

Therefore,

(b). 40,000

The amount of Gross Profit will be ₹ 40,000

Answer 2

Answer:

Rs.40,000

Explanation:

Question:

If the rate of gross profit is 1/4 of cost of goods sold and sales are ₹ 2,00,000, the amount of gross profit will be :

(a)50,000

(b) 40,000

(c) * 66,667

(d) * 60,000

Given:

• The rate of gross profit is 1/4 of cost of goods sold
• Sales are ₹ 2,00,000

To find:

The amount of gross profit

Solution:

Let the cost be x and therefore the rate of gross profit would be 1/4x

x+1/4x = 200000

Take LCM:

5x/4 = 200000

x = 200000×4/5

x= 160000

Cost of goods sold = Rs.1,60,000

Gross profit = Net sales - Cost of goods

2,00,000 - 1,60,000

40,000

Therefore, the answer is option-b

Rs.40,000