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how to find net credit revenue from operation from trading and profit & loss a/c
Most Upvoted Answer
how to find net credit revenue from operation from trading and profit ...
To calculate the net credit revenue from trading and profit, you need to follow these steps:

1. Determine the total revenue from sales: Add up all the sales revenue generated from the trading activities. This includes the sales of goods or services.

2. Subtract any discounts or returns: If there were any sales discounts or returns, subtract them from the total revenue to get the net sales revenue.

3. Calculate the cost of goods or services sold: Determine the cost of goods or services sold during the trading period. This includes the direct costs associated with the production or acquisition of goods or services.

4. Subtract the cost of goods or services sold from the net sales revenue: This will give you the gross profit from trading.

5. Deduct any operating expenses: Subtract any operating expenses, such as salaries, rent, utilities, and other overhead costs, from the gross profit from trading. This will give you the net profit from operations.

6. Deduct any interest or taxes: If there were any interest expenses or taxes payable, deduct them from the net profit from operations to calculate the net credit revenue from trading and profit.

The final result will give you the net credit revenue from trading and profit after considering all the relevant expenses and deductions.
Community Answer
how to find net credit revenue from operation from trading and profit ...
The definition of NET CREDIT SALES is those revenues generated by an entity that it allows to customers on CREDIT, less all SALES returns and SALES allowances. NET CREDIT SALES do not include any SALES for which payment is made immediately in cash.

The formula for calculating Net credit sales is Total Sales, minus Sales Returns, minus Sales Allowances and minus Cash Sales.

Calculate the Total Sales for the Period.

Subtract the Sales Returns.

Subtract the Sales Allowances.

Subtract the Cash Sales.
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how to find net credit revenue from operation from trading and profit & loss a/c Related: NCERT Solution - Chapter 5 : Accounting Ratios - 3, Class 12, Accountancy
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