Question

T.Catculate Closing Stock if Cash sales 1.5 times of credit sales Credit sales ₹1 20 000 Purchases ₹1 40 000 Rate of Gross Profit 25% on cost.

Answer 1

Answer: 100000 ruppees

Explanation :

Total sales =cash sales +credit sales

= 1.5*120000 + 120000

= 180000 + 120000

= 300000

Gross profit = 25/125*30000

= 60000

Cost of goods sold = sales - gross profit

= 300000 - 60000

= 240000

Cost of goods sold = opening stock + purchases + direct expenses - closing stock

-> 240000 = 0 + 140000 + 0 - closing stock

->closing stock = 240000 - 140000

->closing stock. = 100000