Question on: JAMB Accounting - 1994

Given;

Purchases = N20,000

Sales = N40,000

Carriage inwards = N5,000

Carriage outwards = N5,000

Opening stock = N10,000

Closing stock = N5,000

What is the cost of goods sold?

A
N30,000
B
N25,000
C
N20,000
D
N15,000
Ask EduPadi AI for a detailed answer
Correct Option: A

Cost of goods sold:

= Opening stock + purchases + carriage inwards - closing stock

= 10000 + 20000 + 5000 - 5000

= 35000 - 5000

= 30000

: Cost of goods sold = 30000

Thank you

Thanks to Gloria Adah for providing the explanation

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