Sai Baba made sales of ₦10,000 having computed his gross profit % to sales to be 20. His opening stock was ₦250 and ending stock is ₦200. Calculate his purc...
Question 1 Report
Sai Baba made sales of ₦10,000 having computed his gross profit % to sales to be 20. His opening stock was ₦250 and ending stock is ₦200. Calculate his purchases.
Answer Details
The gross profit percentage of sales would be
20% x ₦10,000 = ₦2000
If cost of sales + gross profit = ₦10,000 = ₦2000
:. ₦8000 + ₦2000 = ₦10,000
If cost of goods available for sales less closing stock
= cost of sales
:. ₦8200 + ₦200 = ₦8000
Hence; cost of goods available for sale = opening stock + purchases
:. ₦8200 = ₦250 + A
= ₦8200 – ₦250
=₦7950
Download The App On Google Playstore
Everything you need to excel in your exams
Personalized AI Learning Chat Assistant
200,000+ Exam Questions Across IGCSE, JAMB, WAEC & NECO
Over 3,900 Lesson Notes
Offline Support - Learn Anytime, Anywhere
Green Bridge Timetable
Literature Summaries & Potential Questions
Track Your Performance & Progress
In-depth Explanations for Comprehensive Learning