Accounting 9706 · AS & A Level · Preparation of financial statements

Preparation of financial statements — practice question

The financial data provided is as follows: inventory at 1 January 2016: $800$ inventory at 31 December 2016: $1010$ purchases: $9260$ carriage inwards: $130$ revenue: $18000$ discount received: $700$ other costs: $3880$ What are the amounts of gross profit and profit for the year?

  • Agross profit $8820$, profit for the year $4240$
  • Bgross profit $8820$, profit for the year $5640$
  • Cgross profit $9080$, profit for the year $5900$
  • Dgross profit $9520$, profit for the year $5640$

Worked solution & mark scheme

This 1-mark question has a full step-by-step worked solution and mark scheme.

  • Full mark scheme, point by point
  • Step-by-step worked solution
  • Write your answer & get it marked instantly by AI