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Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.
- a)Nil
- b)Rs. 48,000
- c)Rs. 98,000
- d)None of the above
Correct answer is option 'B'. Can you explain this answer?
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Most Upvoted Answer
Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000...
Calculation of closing stock
Given:
Opening Stock = Rs. 30,000
Cost of goods available for sale = Rs. 1,60,000
Sales = Rs. 1,60,000
Gross profit on sales = 30%
We need to calculate the value of closing stock.
Step 1: Calculate Cost of Goods Sold (COGS)
COGS = Cost of goods available for sale - Opening stock
COGS = Rs. 1,60,000 - Rs. 30,000
COGS = Rs. 1,30,000
Step 2: Calculate Gross Profit
Gross Profit = Sales - COGS
Gross Profit = Rs. 1,60,000 - Rs. 1,30,000
Gross Profit = Rs. 30,000
Step 3: Calculate Cost of Goods Sold Percentage
COGS Percentage = COGS / Sales x 100
COGS Percentage = Rs. 1,30,000 / Rs. 1,60,000 x 100
COGS Percentage = 81.25%
Step 4: Calculate Closing Stock
Closing Stock = Cost of goods available for sale - COGS
Closing Stock = Rs. 1,60,000 - Rs. 1,30,000
Closing Stock = Rs. 30,000
Since the Gross Profit on Sales is given as 30%, the COGS percentage can be calculated as 100% - 30% = 70%. As the COGS percentage is 81.25%, it means that the closing stock would be valued at a negative amount, which is not possible. Therefore, the closing stock is considered to be nil. Hence, the correct answer is option B) Nil.
Given:
Opening Stock = Rs. 30,000
Cost of goods available for sale = Rs. 1,60,000
Sales = Rs. 1,60,000
Gross profit on sales = 30%
We need to calculate the value of closing stock.
Step 1: Calculate Cost of Goods Sold (COGS)
COGS = Cost of goods available for sale - Opening stock
COGS = Rs. 1,60,000 - Rs. 30,000
COGS = Rs. 1,30,000
Step 2: Calculate Gross Profit
Gross Profit = Sales - COGS
Gross Profit = Rs. 1,60,000 - Rs. 1,30,000
Gross Profit = Rs. 30,000
Step 3: Calculate Cost of Goods Sold Percentage
COGS Percentage = COGS / Sales x 100
COGS Percentage = Rs. 1,30,000 / Rs. 1,60,000 x 100
COGS Percentage = 81.25%
Step 4: Calculate Closing Stock
Closing Stock = Cost of goods available for sale - COGS
Closing Stock = Rs. 1,60,000 - Rs. 1,30,000
Closing Stock = Rs. 30,000
Since the Gross Profit on Sales is given as 30%, the COGS percentage can be calculated as 100% - 30% = 70%. As the COGS percentage is 81.25%, it means that the closing stock would be valued at a negative amount, which is not possible. Therefore, the closing stock is considered to be nil. Hence, the correct answer is option B) Nil.
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Community Answer
Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000...
Cost of goods availabe for sale (opening stock + purchase)=160000
sales=160000
we know that cost of good sold(cogs)+profit = sales
gross profit is given that means we can find the vale of cogs. 160000*30/100=48000
thats means cogs=160000-48000
cogs=112000
o.s.+purchase = cogs+c.s.
now we have
160000=120000+c.s.
c.s.=48000
sales=160000
we know that cost of good sold(cogs)+profit = sales
gross profit is given that means we can find the vale of cogs. 160000*30/100=48000
thats means cogs=160000-48000
cogs=112000
o.s.+purchase = cogs+c.s.
now we have
160000=120000+c.s.
c.s.=48000
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Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer?
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Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer?.
Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer? for CA Foundation 2024 is part of CA Foundation preparation. The Question and answers have been prepared according to the CA Foundation exam syllabus. Information about Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer?.
Solutions for Opening Stock Rs.30,000, Cost of goods available for sale Rs. 1,60,000, Sales were Rs. 1,60,000. Gross profit on sales is 30% Calculate closing stock.a)Nilb)Rs. 48,000c)Rs. 98,000d)None of the aboveCorrect answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA Foundation.
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