From the following information, prepare Trading Account for the year ended 31st March, 2023: Adjusted purchases ₹ 6,60,000; Sales ₹ 7,44,000
From the following information, prepare Trading Account for the year ended 31st March, 2023:
Adjusted purchases ₹ 6,60,000; Sales ₹ 7,44,000; Closing Stock ₹ 50,400; Freight and Carriage Inwards ₹ 3,600; Wages ₹ 6,000; Freight and Cartage Outwards ₹ 2,000.
[Gross Profit – ₹ 74,400.]
[Hints: 1. Adjusted Purchases = Opening Stock + Net Purchases – Closing Stock.
2. Closing Stock is not shown on the credit side of the Trading Account because it is already adjusted while calculating the adjusted purchases.
3. Freight and Cartage Outwards are indirect expenses and hence are not debited to Trading Account.
Anurag Pathak Changed status to publish October 12, 2023
