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Find out the net income from the following figures related to the year 2021 opening stock 10000 purchase 25000 direct expenses 1000 closing stock 5000 operating expenses 2000 sales 40000 |
Answer» Explanation: CLOSING stock = (OPENING stock + PURCHASES + gross profit) - SALES = (1,00,000 + 6,00,000 + 1,00,000)- 5,00,000 = 8,20,000 - 5,00,000 = 3,00,000 Working note:- CALCULATION of gross profit (Gross profit is 25% of cost because we don't have cost we will calculate it with the help of sales) If cost is 100 gross profit is 25% of cost then sale will be Gross profit + cost Hence 100 +25 = 125 therefore, gross profit = 25/125 x 5,00,000 = 1,00,000 |
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