- This topic has 1 reply, 2 voices, and was last updated 1 year ago by .
Viewing 2 posts - 1 through 2 (of 2 total)
Viewing 2 posts - 1 through 2 (of 2 total)
- You must be logged in to reply to this topic.
PQ Awards Nominations
Please help us to win one of the PQ Magazine awards and send in the voting form >>
You can nominate us in any or all of the following categories: Online College of the Year, Study Resource of the Year, Private Sector Lecturer of the Year, and Accountancy Personality of the Year.
Specially for OpenTuition students: 20% off BPP Books for ACCA & CIMA exams – Get your BPP Discount Code >>
Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › section c
bits and pieces (6/09)
For part a) of this question, how has the purchase cost been calculated and what does it represent.
If the gross profit is 70%, then the remaining 30% is what. Is it cost of sales, or purchase cost or something else.
I calculated the average sales revenue to be 800000 and the gross profit of 50% of that i.e. 400000. But when I calculated the gross profit by subtracting 335000 from 800000 I got a different figure of 465000. Why am I getting this difference, and which one is correct.
The remaining 30% is the cost of sales.
The correct answer is the printed answer. I cannot explain where your figures came from. If you are not clear about the workings in the printed answer then say which part you are not clear about.