Question

stock was not taken on 31st March 2018 but only on 6 April 2018 it was and valued at 1 lakh. purchases and sales between these two dates were 16000 and 12000 respectively. rate of gross profit included in the sales was 20% on cost. find closing stock​

Answer 1

Answer:

Closing Stock = 106000

Explanation:

Revenue from operations = Sales = 12000.

Let the cost of Revenue from operations be x.

Cost of Revenue from operations = Revenue from operations- Gross profit.

x = 12000- 20x/100

6x/5=12000

6x=60000

x=10000

Cost of Revenue from operations =10000

Cost of Revenue from operations = Opening Stock +Purchases - Closing Stock.

10000=100000+16000- Closing Stock

Closing Stock =116000-10000=106000.