The following information is provided by a dealer in computer chips. The dealer follows FIFO method for valuing stock, calculate from the following figures –
April 1, 2019 Opening stock 750 chips @Rs1550 per chip
Purchases
April 10, 2019 1000 chips @Rs1750 per chip
April 20, 2019 1650 chips @ Rs1875 per chip
Sales
April 15, 2019 900 chips @Rs3000 per chip
April 16, 2019 1950 chips @ Rs 3250 per chip
a) Cost of goods available for sale
b) Gross profit
Answers
Answered by
0
Answer:
Step-by-step explanation:
April 1, 2019 Opening stock 750 chips @Rs1550 per chip
Purchases
April 10, 2019 1000 chips @Rs1750 per chip
April 20, 2019 1650 chips @ Rs1875 per chip
Total stock price = 750*1550 + 1000*1750 + 1650*1875
= 1162500 + 1750000 + 3093750
= 6006250
Selling Price = 900 * 3000 + 1950 * 3250 = 9037500
Cost price of (900 + 1950 = 2850 = 750 + 1000 + 1100)
=750*1550 + 1000*1750 + 1100*1875
= 4975000
Profit = 9037500 - 4975000 = Rs 4062500
Cost of Good Available = 550 * 1875 = Rs 1031250
Similar questions