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TRADING ACCOUNT DOUBT please everyone teach and clarify me...

Others 308 views 4 replies
Dear Chartered Accountants and Knowledgeable persons....

Opening stock VS closing stock

Some people's told to me the closing stock will be below of your opening stock ... everybody telling their own point including some Auidtors and accountants

Generally as per Accounting rules ,the closing stock how can I judge???

my humble request plse everybody give me a clarity information
Replies (4)
Sales - purchase - opening stock gives closing stock
Now I can explain:

Opening Stock : 14000
Purchase: 56000
GP (10% of sales): 8400
Total 78400
Sales : 62000

Then Closing stock will be 16400 less than opening stock.

It's a simple concept if you have more sale then you have less stock and if you have less sale then more stock.
@ thank you Rashmi mam....plse always guide me
Welcome 🤗🤗🤗


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