The gross profit or loss is?
Le 30,000 profit
Le 20,000 profit
Le 10,000 loss
Le 30,000 loss
Correct answer is A
Opening stock------------- 10,000 Sales --------- 120,000
Purchase------------------- 100,000
110,000
Less: Closing stock-----------20,000
Cost of goods sold------- 90,000 90,000
Gross profit 30,000
Use the information below to answer the question that follows
The cost of goods sold is.........
Le 120,000
Le 110,000
Le 90,000
Le 30,000
Correct answer is C
Cost of goods sold = opening stock + purchase - closing stock
10,000 + 100,000 - 20,000 = 90,000
The wages of an office cleaner is classified as
Direct labour cost
Direct expenses
Factory overhead
Administrative overhead
Correct answer is D
Administrative overhead is those costs not involved in the development or production of goods or services. Administrative overhead is those costs not involved in the development or production of goods or services.
Cost of goods sold is calculated as...................
Opening stock+ purchase - closing
Opening stock + sales - closing stock
Opening stock + purchase + closing stock
Opening stock + sales + closing stock
Correct answer is A
Starting inventory + purchases − ending inventory = cost of goods sold
The concept which states that revenue is recognized when goods are sold is
Realization concept
Going concern concept
Matching concept
Periodically concept
Correct answer is A
The realization concept states that revenue can only be recognized once the available goods or services associated with the revenue have been delivered or sold.