Question

The Head Office sends goods at cost and instructs the branch to sell the goods at a profit of 20% on selling price. What are the total sales, if: Opening stock at Rs.36,000, Goods sent to branch Rs.6,00,000, Closing stock Rs.60,000? *
Rs.7,20,000
Rs.6,00,000
Rs. 6,72,000
None of these​

Answer 1

Answer:

none of these I think so

Explanation:

follow and thanks

Answer 2

Answer:

Gross Profit = Sales - Cost of Goods Sold

(20% of Sales) = Sales - (36000 + 600000 - 60000)

0.20 Sales = Sales - 576000

576000 = Sales - 0.20 Sales

576000 = 0.80 Sales

576000 / 0.80 = Sales

720000 = Sales

Explanation:

Here, Cost of Goods Sold consists of the following items:-

A. Opening Stock of Goods 36000/-

B. Goods Sent at cost (Purchase value) 600000/-

C. Closing Stock of Goods 60000/-

Cost of Goods Sold = A+B-C = 576000/-

Gross Profit shall always be calculated on Sales subject to percentage

According to the given sum, Gross Profit is 20% of Sales

Therefore,

Gross Profit= Sales - Cost of Goods Sold

20% of Sales= Sales - 576000

576000= Sales - 0.20 Sales

576000= 0.80 Sales

576000 / 0.80 = Sales = 720000/-