Use this information to answer this question. Below is the trading, profit and loss Account particulars of Amadi peterside and Brothers for the year ended 31st December 1986.
stockPurchase
1000
7000
Sales
8000
Closing Stock
3000
Trading Expenses[table the figures given, calculateGross profit
A. 300 B. 3000 C. 6000 D. 11000
Correct Answer: B
Explanation
Gross profit = Sales - Cost of goods sold Cost of goods sold = Opening + Purchases - Closing stock = 1000 + 7000 - 3000 ⇒ 6000 Therefore, Gp = 8000 - 6000 = 3000
