A trader's turnover was D36,000. Purchases was D28,000. The opening stock was D2,000 and the closing stock was D3,000.

The average stock is

Answer Details

To calculate the average stock, we can use the formula:
Average Stock = (Opening Stock + Closing Stock) / 2
Given:
Turnover = D36,000
Purchases = D28,000
Opening Stock = D2,000
Closing Stock = D3,000
We can calculate the Cost of Goods Sold (COGS) using the formula:
COGS = Turnover - Purchases
COGS = D36,000 - D28,000
COGS = D8,000
We can calculate the Average Stock using the formula above:
Average Stock = (Opening Stock + Closing Stock) / 2
Average Stock = (D2,000 + D3,000) / 2
Average Stock = D2,500
Therefore, the average stock is D2,500.