ACCA F3 Incomplete 3
A fixes prices to make a standard gross profit percentage on sales of 35%
The following information for the year ended 31 December 2014 is available to compute his total sales for the year.
| $ | |
| Opening inventory | 37,035 |
| Closing inventory | 53,824 |
| Purchases | 157,802 |
| Purchases Returns | 5,523 |
What is the sales figure for the year ended 31 December 2014?
SUGGESTED SOLUTIONS
| $ | |
| Opening inventory | 37,035 |
| Plus Purchases | 157,802 |
| Minus Purchases Returns | (5,523 ) |
| Minus Closing inventory | (53,824 ) |
| Cost of Sale | 135,490 |
Sales = Cos / (1- gross profit/100)
= 135,490 / (1- (35 /100))
= $208,446