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During the year ended 30 June 2021, Rose Bhd sold to Joy Bhd goods worth RM25 million. Rose Bhd priced its sales to Joy Bhd
During the year ended 30 June 2021, Rose Bhd sold to Joy Bhd goods worth RM25 million. Rose Bhd priced its sales to Joy Bhd at cost plus 25%. Half of the invoiced amount was still due from Joy Bhd on 30 June 2021. At the end of the year, RM5 million of these goods remained unsold. There was also an unrealised profit of RM2 million in the opening inventory of Joy Bhd. The opening inventory was also purchased from Rose Bhd. How much is the unrealised profit?
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