****nkhede took stock on April 10, 2017 when the closing stock 9. The following facts pertain to the period April 01, 2017 to April 10, 2017 a. Goods worth 265,000 were sold at a profit of 25% on sales b. Purchases of 337,000 include 7,000 for which ownership has not been transferred yet. c. Goods sold costing 11,000 were received from consignee Mr. Ram Manhor. d. Goods sent to Mr. Keke (at 325,000) on approval basis at a profit of 25% on sales. e. Sales of 39,000 were found to be undercasted. f. Goods purchased at 36,000 (which was purchased at 20% more than its market-price) were not received; however, the invoice was recorded in the Purchase Day Book. You are required to calculate closing stock as on March 31, 2017. Ascertainment of Closing Stock as on March 31, 2017 Value of Closing Stock (on April 10) Add: Sales at cost (during the week) Purchases return Goods sent on approval basis Undercasting of sales Less: Purchases (during the week) Purchases (ownership transferred) Goods held on consignment basis Closing Stock as on March 31, 2017 5,50,000 65,000 15,000 18,750 9,000 (30,000) (6,000) (11,000) 5,95,750 Working Notes Profit = 25% of Sales .. Cost is 75% of Sales .. Cost = Sales x 75% Cost = 25,000 x 75% = 318,750 c15 4.20 Accountancy and Financial Management- 4.5 COMPREHENSIVE ILLUSTRATIONS Example 11: The following particulars have been extracted in respect of Raw materials of Ultra Chemicals. Find the value of closing stock as on June 30, 2016 on the basis of (1) First- In-First-Out Method and (II) Weighted Average Method. Receipts: Jaunary 01, 2016 February 03, 2016 April 13, 2016 June 23, 2016 Opening Stock Purchased Purchased Purchased 100 units at $35 per unit 400 units at 40 per unit 900 units at 345 per unit 600 units at 50 per unit Issues: March 05, 2016 Issued 400 units