1.Gordon business:

Revenue 90000

opening inventory 8000

closing inventory 2000

mark up 20%

he took 7000 goods for own use

What is his purchases (answer is 61000) I do not seem to get to that amount. Struggling with mark up and Margin differences and calculation thereof.

2. Sandra Business information:

revenue 189000

purchases 125000

gross profit as percentage of cost of sales 25%

What is gross profit (answer 37800 but do not get to that)

3.Khalid does not maintain full set of accounting records. His financial year ends 30 Sept and all purchases and sales are made on credit terms

On 1 Oct 2017

Inventory 3100

trade receivables 4620

during the year ended 30 Sep 2018

cheques received from trade receivables 47970

discount allowed 1230

bad debt written off 115

total purchases 39200

on 30 Sept 2018

Trade receivables 3305

After warehouse was closed on 30 Sep a fire broke out and quantity of inventory destroyed. Undamaged inventory was valued at 1500

Profit mark-up 25%

What is sales for year end 30 Sept 2018

What is income statement (trading account section) to show value of inventory destroyed for year end 30 Sep 2018

What is rate of inventory turnover. Include total inventory before fire broke out on 30 Sep 2018