Question

stock of goods sold on 1-4-2018 =60000 purchase during the year=400000 purchase return=30000 carriage on purchase=30000 stock of goods on 31-3-2019= 60000 G.P 20% on sales.find out cost of goods sold and sales during the year 2018-2019
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Answer 1

Answer:

cost of goods sold = opening stock of goods as on 1st of April 2018+Purchases net of purchase returns + direct expenses attributable to bring he goods to godown - closing stock of goods on 31st March 2019

Cost of goods sold= 60,000+ (4,00,000-30,000)+30 000 -60,000

Cogs= 60,000+3,70,000+30,000-60,000

COGS= 4,00,000Rs

Now Sales =COGS+GP%on cost

now sales= 4,00,000+25%of 4,00,000

Sales= 4,00,000+1,00,000

Sales=5,00,000Rs

Explanation:

wehave been given gp%=20%

but 20%is on sales

ie 1/5of sales

to convert it to gp%on cost we

have gp%=1/4of cost ie 25%of cost

Answer 2

Explanation:

Solution :

Cost of Goods Sold = 60,000 + (4,00,000 - 30,000) + 30,000 - 60,000

60,000 + 3,70,000 + 30,000 - 60,000

460,000 - 60,000

Cost of Goods Sold = 4,00,000

G.P. = 20% of Sales

Cost of Goods Sold = Net Sales - G.P.

Let,

Net Sales = x

Cost of Goods Sold = Net Sales - G.P.

4,00,000 = x - 20 % of x

4,00,000 = x - 0.2x

4,00,000 = 0.8x

x = 4,00,000/0.8

x = 5,00,000

Net Sales = 5,00,000

G.P. = 20% of Sales

5,00,000 × 20/100

G.P. = 1,00,000

Therefore,

Cost of Goods Sold = 4,00,000 and Sales = 5,00,000 during the year 2018-2019.