Question No 04 Chapter No 18
4. Calculate Closing Stock from the following details:
| Opening Stock | 20,000 | Purchases | 70,000 |
| Cash Sales | 60,000 | Credit Sales | 30,000 |
| Rate of Gross Profit on Cost 33 1 | |||
| 3% |
The solution of Question No 04 Chapter No 18:-
Calculation of amount of Closing Stock
| Gross Profit= | 33 | 1 | % on cost`= | 1 | 3rd on cost |
| 3 | 3 |
| ∴ Gross Profit on sales = | 1 | on sales |
| 4 |
And, Sales = Cash Sales + Credit Sales = 60,000+40,000 = Rs 1,00,000
| So, Gross Profit =1,00,000 X | 1 | = Rs 25,000 |
| 4 |
| Cost of Goods Sold | = | Sales −Gross Profit |
| = | = 1,00,000 −25,000 = Rs 75,000 | |
| Cost of Goods Sold | = | =Opening Stock +Purchases +Direct Expenses −Closing Stock |
| = | 75,000 = 20,000 +70,000 +0 −Closing Stock | |
| Closing Stock | = | Rs 15,000 |
Final Accounts: Definition and Explanation
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Trading Account: Meaning, Format and Examples
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Also, Check out the solved question of previous Chapters: –
-
- Chapter No. 1 – Introduction to Accounting
- Chapter No. 2 – Basic Accounting Terms
- Chapter No. 3 – Theory Base of Accounting, Accounting Standards and International Financial Reporting Standards(IFRS)
- Chapter No. 4 – Bases of Accounting
- Chapter No. 5 – Accounting Equation
- Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
- Goods and Services Tax(GST)
- Chapter No. 7 – Origin of Transactions – Source Documents and Preparation of Vouchers
- Chapter No. 8 – Journal
- Chapter No. 9 – Ledger
- Chapter No. 10 – Special Purpose Books I – Cash Book
- Chapter No. 11 – Special Purpose Books II – Other Books
- Chapter No. 12 – Bank Reconciliation Statement
- Chapter No. 13 – Trial Balance
- Chapter No. 14 – Depreciation
- Chapter No. 15 – Provisions and Reserves
- Chapter No. 16 – Accounting for Bills of Exchange
- Chapter No. 17 – Rectification of Errors
- Chapter No. 18 – Financial Statements of Sole Proprietorship
- Chapter No. 19 – Adjustments in preparation of Financial Statements
- Chapter No. 20 – Accounts from incomplete Records – Single Entry System
- Chapter No. 21 – Computers in Accounting
- Chapter No. 22 – Accounting Software – Tally
- Chapter No. 5 – Accounting Equation
- Chapter No. 6 – Accounting Procedures – Rules of Debit and Credit
- Goods and Services Tax(GST)
- Chapter No. 8 – Journal
- Chapter No. 9 – Ledger
- Chapter No. 10 – Special Purpose Books I – Cash Book
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