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14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.?
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14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at in...
Title: Solution to Ajay and Vijay's consignment problem
Given Information:
- Ajay consigned goods to Vijay to be sold at invoice price, which represents 125% cost.
- Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price.
- The expenses on freight and insurance incurred by Ajay were 10,000.
- Vijay has effected sales amounting to 1,00,000 in respect of 75% of the consignment.
Solution:
1. Calculation of the cost price of consignment
- Let the cost price of the consignment be x
- The invoice price is 125% of the cost price, therefore, invoice price = 1.25x
- Since Vijay is entitled to a commission of 10% on sales at invoice price, the amount received by Ajay will be 1.125x
- Therefore, 1.125x = 100,000 (75% of the consignment)
- Solving for x, we get x = 88,888.89
2. Calculation of commission received by Vijay
- Since Vijay is entitled to a commission of 10% on sales at invoice price, his commission on the sales of 75% of the consignment will be 10% of (1.25 * 75% * 88,888.89) = 8,333.33
- Vijay is also entitled to 25% of any excess reals over invoice price. Since the sales amount is 1,00,000 and the invoice price is 1.25x = 1,11,111.11, there is no excess real over invoice price. Therefore, Vijay's commission on excess reals is 0.
3. Calculation of amount received by Ajay
- Ajay will receive the sales amount of 1,00,000 minus Vijay's commission of 8,333.33, which is 91,666.67
- From this amount, Ajay will deduct the expenses on freight and insurance incurred, which is 10,000
- Therefore, Ajay's net amount received will be 81,666.67
Conclusion:
- Ajay consigned goods to Vijay to be sold at invoice price, which represents 125% cost.
- Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price.
- The expenses on freight and insurance incurred by Ajay were 10,000.
- Vijay has effected sales amounting to 1,00,000 in respect of 75% of the consignment.
- After calculations, Ajay's net amount received will be 81,666.67
Given Information:
- Ajay consigned goods to Vijay to be sold at invoice price, which represents 125% cost.
- Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price.
- The expenses on freight and insurance incurred by Ajay were 10,000.
- Vijay has effected sales amounting to 1,00,000 in respect of 75% of the consignment.
Solution:
1. Calculation of the cost price of consignment
- Let the cost price of the consignment be x
- The invoice price is 125% of the cost price, therefore, invoice price = 1.25x
- Since Vijay is entitled to a commission of 10% on sales at invoice price, the amount received by Ajay will be 1.125x
- Therefore, 1.125x = 100,000 (75% of the consignment)
- Solving for x, we get x = 88,888.89
2. Calculation of commission received by Vijay
- Since Vijay is entitled to a commission of 10% on sales at invoice price, his commission on the sales of 75% of the consignment will be 10% of (1.25 * 75% * 88,888.89) = 8,333.33
- Vijay is also entitled to 25% of any excess reals over invoice price. Since the sales amount is 1,00,000 and the invoice price is 1.25x = 1,11,111.11, there is no excess real over invoice price. Therefore, Vijay's commission on excess reals is 0.
3. Calculation of amount received by Ajay
- Ajay will receive the sales amount of 1,00,000 minus Vijay's commission of 8,333.33, which is 91,666.67
- From this amount, Ajay will deduct the expenses on freight and insurance incurred, which is 10,000
- Therefore, Ajay's net amount received will be 81,666.67
Conclusion:
- Ajay consigned goods to Vijay to be sold at invoice price, which represents 125% cost.
- Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price.
- The expenses on freight and insurance incurred by Ajay were 10,000.
- Vijay has effected sales amounting to 1,00,000 in respect of 75% of the consignment.
- After calculations, Ajay's net amount received will be 81,666.67
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14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at in...
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14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.?
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14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? 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 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.?.
14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? 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 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.?.
Solutions for 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? in English & in Hindi are available as part of our courses for CA Foundation.
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Here you can find the meaning of 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? defined & explained in the simplest way possible. Besides giving the explanation of
14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.?, a detailed solution for 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? has been provided alongside types of 14. Ajay of Mumbai consigned to Vijay of Delhi, goods to be sold at invoice price which represents 125% cost. Vijay is entitled to a commission of 10% on sales at invoice price and 25% of any excess reals over invoice price. The expenses on freight and insurance incurred by Ajay were 10,000. The acco sales received by Ajay shows that Vijay has euected sales amounting to 1,00,000 in respect of 75% the consignment.? theory, EduRev gives you an
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