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A consignee sold goods costing Rs. 50,000 at a profit of Rs. 10,000. Out of total sale 30% was credit sale. As per the agreement the consignee will get 5% ordinary commission, 2% del-credere commission on credit sale and 3% over-riding commission on amount in excess of cost price. The amount of commission will be (a) Rs. 3,540 (b) Rs.3,840 (c) Rs.4,500 (d) Rs.3,000?
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A consignee sold goods costing Rs. 50,000 at a profit of Rs. 10,000. O...
Given Information:
- Cost of goods sold = Rs. 50,000
- Profit = Rs. 10,000
- Credit sale = 30% of total sale
- Ordinary commission = 5% of total sale
- Del-credere commission = 2% of credit sale
- Over-riding commission = 3% of amount in excess of cost price

Calculation:
1. Total sale:
Total sale = Cost of goods sold + Profit
Total sale = Rs. 50,000 + Rs. 10,000
Total sale = Rs. 60,000

2. Credit sale:
Credit sale = 30% of total sale
Credit sale = 0.30 * Rs. 60,000
Credit sale = Rs. 18,000

3. Commission calculations:
- Ordinary commission = 5% of total sale
Ordinary commission = 0.05 * Rs. 60,000
Ordinary commission = Rs. 3,000

- Del-credere commission = 2% of credit sale
Del-credere commission = 0.02 * Rs. 18,000
Del-credere commission = Rs. 360

- Over-riding commission = 3% of amount in excess of cost price
Amount in excess of cost price = Total sale - Cost of goods sold
Amount in excess of cost price = Rs. 60,000 - Rs. 50,000
Amount in excess of cost price = Rs. 10,000
Over-riding commission = 0.03 * Rs. 10,000
Over-riding commission = Rs. 300

4. Total commission:
Total commission = Ordinary commission + Del-credere commission + Over-riding commission
Total commission = Rs. 3,000 + Rs. 360 + Rs. 300
Total commission = Rs. 3,660

Answer:
The amount of commission is Rs. 3,660.
So, option (b) Rs. 3,840 is incorrect.
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A consignee sold goods costing Rs. 50,000 at a profit of Rs. 10,000. Out of total sale 30% was credit sale. As per the agreement the consignee will get 5% ordinary commission, 2% del-credere commission on credit sale and 3% over-riding commission on amount in excess of cost price. The amount of commission will be (a) Rs. 3,540 (b) Rs.3,840 (c) Rs.4,500 (d) Rs.3,000?
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A consignee sold goods costing Rs. 50,000 at a profit of Rs. 10,000. Out of total sale 30% was credit sale. As per the agreement the consignee will get 5% ordinary commission, 2% del-credere commission on credit sale and 3% over-riding commission on amount in excess of cost price. The amount of commission will be (a) Rs. 3,540 (b) Rs.3,840 (c) Rs.4,500 (d) Rs.3,000? 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 A consignee sold goods costing Rs. 50,000 at a profit of Rs. 10,000. Out of total sale 30% was credit sale. As per the agreement the consignee will get 5% ordinary commission, 2% del-credere commission on credit sale and 3% over-riding commission on amount in excess of cost price. The amount of commission will be (a) Rs. 3,540 (b) Rs.3,840 (c) Rs.4,500 (d) Rs.3,000? covers all topics & solutions for CA Foundation 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for A consignee sold goods costing Rs. 50,000 at a profit of Rs. 10,000. Out of total sale 30% was credit sale. As per the agreement the consignee will get 5% ordinary commission, 2% del-credere commission on credit sale and 3% over-riding commission on amount in excess of cost price. The amount of commission will be (a) Rs. 3,540 (b) Rs.3,840 (c) Rs.4,500 (d) Rs.3,000?.
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