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

Preparation of financial statements — practice question

A business has taken the following data from its books of account at 31 December 2018, which was its first year of trading. The amounts (in $000) are: carriage inwards $12$, carriage outwards $15$, closing inventory $86$, purchases $286$, returns inwards $10$, returns outwards $2$, revenue $524$. What is the gross profit for the year ended 31 December 2018?

  • A$301\,000$
  • B$304\,000$
  • C$320\,000$
  • D$328\,000$

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