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X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture is
- a)Profit of Rs. 2,000
- b)Loss of Rs. 2,000
- c)Profit of Rs. 1,000
- d)Loss of Rs.1,000
Correct answer is option 'B'. Can you explain this answer?
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X enters into a joint venture with Y. The goods were purchased by X an...
Calculation of Profit/Loss on Joint Venture
Goods purchased by X = Rs. 20,000
Goods purchased by Y = Rs. 40,000
Expenses incurred by Y = Rs. 5,000
Total cost of goods = Rs. 65,000 (20,000+40,000+5,000)
Goods sold by X = Rs. 22,000
Goods sold by Y = Rs. 39,000
Total sale of goods = Rs. 61,000 (22,000+39,000)
Goods unsold taken over by Y = Rs. 2,000
Total profit/loss = Total sale of goods - Total cost of goods - Expenses incurred by Y + Value of unsold goods taken over by Y
= 61,000 - 65,000 - 5,000 + 2,000
= -7,000 (Loss)
Therefore, the correct answer is option 'B' (Loss of Rs. 2,000).
Explanation:
In a joint venture, two or more parties come together to carry out a business activity for a specified period of time. In this question, X and Y entered into a joint venture to purchase goods and sell them for a profit.
The cost of goods purchased by X and Y was Rs. 20,000 and Rs. 40,000 respectively, making the total cost of goods Rs. 65,000. Y also incurred expenses of Rs. 5,000 for the joint venture.
The goods were then sold by X and Y for Rs. 22,000 and Rs. 39,000 respectively, making the total sales of goods Rs. 61,000. However, there were unsold goods worth Rs. 2,000 which were taken over by Y.
To calculate the profit or loss on the joint venture, we need to deduct the total cost of goods, expenses incurred, and the value of unsold goods taken over by Y from the total sales of goods. In this case, the calculation comes to a loss of Rs. 2,000.
Goods purchased by X = Rs. 20,000
Goods purchased by Y = Rs. 40,000
Expenses incurred by Y = Rs. 5,000
Total cost of goods = Rs. 65,000 (20,000+40,000+5,000)
Goods sold by X = Rs. 22,000
Goods sold by Y = Rs. 39,000
Total sale of goods = Rs. 61,000 (22,000+39,000)
Goods unsold taken over by Y = Rs. 2,000
Total profit/loss = Total sale of goods - Total cost of goods - Expenses incurred by Y + Value of unsold goods taken over by Y
= 61,000 - 65,000 - 5,000 + 2,000
= -7,000 (Loss)
Therefore, the correct answer is option 'B' (Loss of Rs. 2,000).
Explanation:
In a joint venture, two or more parties come together to carry out a business activity for a specified period of time. In this question, X and Y entered into a joint venture to purchase goods and sell them for a profit.
The cost of goods purchased by X and Y was Rs. 20,000 and Rs. 40,000 respectively, making the total cost of goods Rs. 65,000. Y also incurred expenses of Rs. 5,000 for the joint venture.
The goods were then sold by X and Y for Rs. 22,000 and Rs. 39,000 respectively, making the total sales of goods Rs. 61,000. However, there were unsold goods worth Rs. 2,000 which were taken over by Y.
To calculate the profit or loss on the joint venture, we need to deduct the total cost of goods, expenses incurred, and the value of unsold goods taken over by Y from the total sales of goods. In this case, the calculation comes to a loss of Rs. 2,000.
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X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? for CA CPT 2025 is part of CA CPT preparation. The Question and answers have been prepared according to the CA CPT exam syllabus. Information about X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA CPT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer?.
X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? for CA CPT 2025 is part of CA CPT preparation. The Question and answers have been prepared according to the CA CPT exam syllabus. Information about X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? covers all topics & solutions for CA CPT 2025 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer?.
Solutions for X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? in English & in Hindi are available as part of our courses for CA CPT.
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X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer?, a detailed solution for X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? has been provided alongside types of X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? theory, EduRev gives you an
ample number of questions to practice X enters into a joint venture with Y. The goods were purchased by X and Y amounting Rs.20,000 and Rs.40,000 respectively. Y incurred the expenses of Rs.5,000. Goods were sold by X and Y amounting Rs.22,000 and Rs.39,000. Goods unsold were taken over by Y for Rs.2,000. The profit or loss on joint venture isa)Profit of Rs. 2,000b)Loss of Rs. 2,000c)Profit of Rs. 1,000d)Loss of Rs.1,000Correct answer is option 'B'. Can you explain this answer? tests, examples and also practice CA CPT tests.
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