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Akash (CA Final Article Assistant) (1671 Points)

12 June 2011

Mr. Prakash Sellos Goods at 20% Cost. His sales were1,020,000 during year.However he sold damaged goods for 20000 costing30000.This is included in1,020,000. The amount Of Gross Profit is

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13 Replies

CA ADITYA SHARMA (CA IN PRACTICE ) (16719 Points)
Replied 12 June 2011

the gross profit would be 175000

Akash (CA Final Article Assistant) (1671 Points)
Replied 12 June 2011

Ans given is 240,000

Vijay (Adamo Studio) (2112 Points)
Replied 12 June 2011

sales 1020000

less damage goods 20000

so net sale = 1000000

GP 20% on cost so GP on sale of normal goods= 250000

less loss on abnormal goods(30000-20000) = 10000

so final GP = 240000

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Akash (CA Final Article Assistant) (1671 Points)
Replied 12 June 2011

Originally posted by : Vijay Manwani
	sales 1020000 less damage goods 20000 so net sale = 1000000 GP 20% on cost so GP on sale of normal goods= 250000 less loss on abnormal goods(30000-20000) = 10000 so final GP = 240000	Thanx

M. N. JHA (CA) (8316 Points)
Replied 13 June 2011

What is going on here??? I think something wrong correct Answer should be Rs. 156667 /=. . . . . . . . . . . . .

M. N. JHA (CA) (8316 Points)
Replied 13 June 2011

Total sale 1020000. . . . . . Scrap sale 20000 which cost rs. 30000 i.e. NET SALE RS. 1000000 and Loss on scrap sale Rs. 10000. . . . . . . . . Now GP is 20% on cost i.e. 16.6667% on Sale. . . . . . . . . So GP on Normal Goods Rs 166667 whenever loss on scrap 10000 SO TOTAL GROSS PROFIT WAS RS. 156667. . . . . . . . . . . . . . . . . . . . . . . . . . . . Due to posting via mobile presentation is rough, hope so u understand. . . . . . . . . . . Thanks

M. N. JHA (CA) (8316 Points)
Replied 13 June 2011

Originally posted by : Vijay Manwani
	sales 1020000 less damage goods 20000 so net sale = 1000000 GP 20% on cost so GP on sale of normal goods= 250000 less loss on abnormal goods(30000-20000) = 10000 so final GP = 240000

ANSWER PAR MAT JAO APNI AKAL LAGAO. . . . . . . . .

Vijay (Adamo Studio) (2112 Points)
Replied 13 June 2011

Originally posted by : Mr. Jha

Originally posted by : Vijay Manwani
	sales 1020000 less damage goods 20000 so net sale = 1000000 GP 20% on cost so GP on sale of normal goods= 250000 less loss on abnormal goods(30000-20000) = 10000 so final GP = 240000

ANSWER PAR MAT JAO APNI AKAL LAGAO. . . . . . . . .

I misunderstood with 20% on cost as 25% on sale instead of 16.67% on sale

& Mr. Jha this can happen to anyone u better mind ur languagge

M. N. JHA (CA) (8316 Points)
Replied 13 June 2011

Originally posted by : Vijay Manwani
	Originally posted by : Mr. Jha Originally posted by : Vijay Manwani sales 1020000 less damage goods 20000 so net sale = 1000000 GP 20% on cost so GP on sale of normal goods= 250000 less loss on abnormal goods(30000-20000) = 10000 so final GP = 240000 ANSWER PAR MAT JAO APNI AKAL LAGAO. . . . . . . . . I misunderstood with 20% on cost as 25% on sale instead of 16.67% on sale & Mr. Jha this can happen to anyone u better mind ur languagge

Very Sorry yaar. . . . . . No intention to hurt you and anyone, actually wrong Answer/Question provide by authorer, and this our stg to match that. . . . . . . . . Sorry for using theth hindi language. . . . . . . . .