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

Preparation of financial statements — practice question

At the end of his first year of trading, a business owner gave the information below. inventory at the end of the year $15000$ total payments made to suppliers $60000$ amount still owed to suppliers $5000$ total receipts from customers $85000$ amount still owed by customers $10000$ What was the gross profit for the year?

  • A$10000
  • B$15000
  • C$25000
  • D$45000

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