1. Calculate the stock the end of the year:
Particulars
Amount
Sales
3,00,000
Opening Stock
25

2 thoughts on “<br />1. Calculate the stock the end of the year:<br />Particulars<br />Amount<br />Sales<br />3,00,000<br />Opening Stock<br />25”

1. Answer:

   Trading Account

   for the year ended March 31,2017

   Dr. Cr.

   Particulars Amount (Rs) Particulars Amount (Rs)

   Opening Stock 2,50,000 Sales 18,00,000

   Purchases 7,00,000

   Less: Sales Returns

   36,000 17,64,000

   Less: Purchases Returns

   22,000 6,78,000 Closing Stock 6,00,000

   Carriage Inward 34,000

   Wages 2,06,000

   Custom Duty 15,000

   Gas, Fuel & Power 60,000

   Dock Charges 8,000

   Manufacturing Expenses 2,48,000

   Factory Lighting 96,000

   Gross Profit (Balancing Figure) 7,69,000

   23,64,000 23,64,000

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2. Explanation:

   Particulars —————— Amount

   Sales ————————— 3,00,000

   Opening Stock —————– 25,000

   Purchases ——————— 2.50,000

   Wages ——————————- 5,000

   Carriage Inwards —————– 3,500

   Rate of Gross Profit on Cost — 20%

   Solution :

   Let,

   Cost of Goods Sold = x

   Net Sales = Cost Of Goods Sold + Gross Profit

   ⇒ 3,00,000 = x + 20% of x

   ⇒ 3,00,000 = 1.2x

   ⇒ x = 3,00,000 / 1.2

   ⇒ x = 2,50,000

   Cost Of Goods Sold = 2,50,000

   Direct Expenses = Carriage Inwards + Wages

   Direct Expenses = 3,500 + 5,000

   Direct Expenses = 8,500

   Cost Of Goods Sold = Opening Stock + Purchases + Direct Expenses – The stock the end of the year

   ⇒ 2,50,000 = 25,000 + 2,50,000 + 8,500 – the stock the end of the year

   ⇒ 2,50,000 = 283,500 – the stock the end of the year

   ⇒ The Stock the end of the year = 283,500 – 2,50,000

   The stock the end of the year = 33,500

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