The following information was taken from the accounting records of three separate businesses. Calculate the unknown amounts and percentages as of 29 February 2021.

BALANCES AND TOTALS - 29 FEBRUARY 2021:

\begin{tabular}{|c|c|c|c|}
\hline
\multicolumn{4}{|c|}{BALANCES AND TOTALS - 29 FEBRUARY 2021} \\
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& Business A & Business B & Business C \\
\hline
Opening stock & 00000 & 50000 & 48000 \\
\hline
Purchases & A & 120000 & 115000 \\
\hline
Carriage on purchases & 8000 & 7500 & H \\
\hline
Cost of goods available for sale & 106000 & D & 169000 \\
\hline
Less Closing stock & 65000 & E & 1 \\
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Cost of sales & [tex]$25 \times 0008$[/tex] & 135500 & 130000 \\
\hline
Gross profit & 71500 & 542007 & J \\
\hline
Sales & 2446 & F & 208000 \\
\hline
Gross profit on cost of sales & e & 40 m & K \\
\hline
Gross profit on turnover & [tex]$2539 \%$[/tex] & 9 & L \\
\hline
\end{tabular}



Answer :

Let's break down the given values and calculate each unknown amount and percentage for Businesses B and C.

Given Data:

For Business B:
- Opening stock: 50,000
- Purchases: 120,000
- Carriage on purchases: 7,500
- Cost of goods available for sale: D
- Closing stock: E
- Cost of sales: 135,500
- Gross profit: 542,007
- Sales: F
- Gross profit on cost of sales:
- Gross profit on turnover:

For Business C:
- Opening stock: 48,000
- Purchases: 115,000
- Carriage on purchases: H
- Cost of goods available for sale: 169,000
- Closing stock: 1
- Cost of sales: 130,000
- Gross profit: J
- Sales: 208,000
- Gross profit on cost of sales: K
- Gross profit on turnover: L

Step-by-Step Calculations:

For Business C:
1. Carriage on Purchases (H):
The value of H is determined by:
[tex]\[ H = 7500 \][/tex]

2. Closing Stock (1):
The cost of goods available for sale is given by:
[tex]\[ \text{Cost of goods available for sale} = \text{Opening stock} + \text{Purchases} + \text{Carriage on purchases} \][/tex]
We have the cost of goods available for sale directly as 169,000. Therefore, the closing stock can be calculated as:
[tex]\[ \text{Closing stock} = \text{Cost of goods available for sale} - \text{Cost of sales} \][/tex]
Given the cost of sales is 130,000:
[tex]\[ 1 = 169,000 - 115,000 - 7500 = 46,000 \][/tex]

3. Gross Profit (J):
Given the sales:
[tex]\[ \text{Gross profit} = \text{Sales} - \text{Cost of sales} \][/tex]
Therefore:
[tex]\[ J = 208,000 - 130,000 = 78,000 \][/tex]

4. Gross Profit on Cost of Sales (K):
This ratio is calculated as:
[tex]\[ K = \frac{\text{Gross profit}}{\text{Cost of sales}} \][/tex]
Substituting the known values:
[tex]\[ K = \frac{78,000}{130,000} = 0.6 \][/tex]

5. Gross Profit on Turnover Percentage (L):
This percentage is calculated as:
[tex]\[ L = \left(\frac{\text{Gross profit}}{\text{Sales}}\right) \times 100 \][/tex]
Therefore:
[tex]\[ L = \left(\frac{78,000}{208,000}\right) \times 100 = 37.5\% \][/tex]

After performing these calculations, we have the following results:

1. Carriage on Purchases (H): 7,500
2. Closing Stock (1): 46,000
3. Gross Profit (J): 78,000
4. Gross Profit on Cost of Sales (K): 0.6
5. Gross Profit on Turnover (L): 37.5%

These calculations are based on the values provided and the formulas used to derive the unknown quantities and percentages from the data given.