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Sale Rs. 2000 Gross Profit 25% of sale What is Cost of Goods?

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Question added by Wasim khan wazir , Finance Specialist , Mott Macdonald
Date Posted: 2015/07/27
SHIVA SHANKAR LOHANI
by SHIVA SHANKAR LOHANI , Sr. ACCOUNTANT , SENSORTECH SAUDI MANUFACTURING CO. LTD

Here,

Total Sales value   =2000

Gross Profit =25 % of Sales 

                      =  25/100x2000

                      =  500 Gross Profit

Cost of Goods =  Total Sales - Gross Profit

                           =2000-500

Cost of Goods =1500 [ That's Way option "A" is correct]

Sara Khan
by Sara Khan , financial and admin assistant , Ministry Of Defence

                         Sales =2000

Less Cost of goods =1500

             Gross profit =500 (25 % sales)

 SO, the answer is 1500

                                       

Kamran Manzoor
by Kamran Manzoor , Asst Manager Finance , Celeros Networks (Pvt) Ltd

What if i say the sale price of Rs2,000 is the125% which means100% is the cost25% is the profit. ?

 

Now our calculation will show a different answer

2000 x 25/100

     125/100

=1600

 

and Rs.400 is the gross profit

 

Shakeel Ahmad
by Shakeel Ahmad , Group Finance Manager , AL Yarmok

Cost of goods will be1500 Option A 

Md. Omar Faruq
by Md. Omar Faruq , Manager-Accounts & Finance , The Rani Re-Rolling Mills Limited.

If Profit25% then Cost of Goods sold is75% So, Cost of Goods sold is (2000*75%)=1,500. The Correct answer is Option-A

Sabir Hussain
by Sabir Hussain , Accounting Manager , Etihad Aviation Tours & Travels

cost of Goods = Gross Profit - % of Profit

                      =    2000        -        2000 *25%

                     =  2000         -         500

                     =1500

Ahmed kandil
by Ahmed kandil , Cost Controller , Battour Holding Cpompany

Correct answer is1500 thanks

Irshad km
by Irshad km , Accountant GL and Taxation , Horizon Geosciences

1500.75%2000 is the cost (2000*75/100 =1500)

Shahbaz Hayder
by Shahbaz Hayder , Group Head of Finance , Sharif Group of Companies

Option A is the right answer.

Wasim khan wazir
by Wasim khan wazir , Finance Specialist , Mott Macdonald

Correct answer is1500..............

Joseph Bukenya
by Joseph Bukenya , Accountant , Uganda NCD Alliance

The cost of goods is amounting to1,500.

Working; (2,000 -500 =1,500)

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