Opening Stock Rs. 15,000 Purchases Rs. 95,000 Closing Stock Rs. 29,000 Cash Received from Debtors Rs. 40,000 Gross profit on sales 10%. Amount of sales would be

The correct answer is: B. Rs. 72,000

To calculate the amount of sales, we can use the following formula:

Sales = Cost of Goods Sold + Gross Profit

Cost of Goods Sold = Opening Stock + Purchases – Closing Stock

Gross Profit = Sales – Cost of Goods Sold

Plugging in the given values, we get:

Sales = (15,000 + 95,000 – 29,000) + (10/100)(15,000 + 95,000 – 29,000) = 72,000

Therefore, the amount of sales is Rs. 72,000.

Here is a brief explanation of each option:

• Option A: Rs. 60,000. This is the cost of goods sold, which is not the same as the amount of sales.
• Option B: Rs. 72,000. This is the correct answer.
• Option C: Rs. 80,000. This is the gross profit, which is not the same as the amount of sales.
• Option D: Rs. 90,000. This is the sum of the opening stock, purchases, and closing stock, which is not the same as the amount of sales.