IndigoLearn

Forums

All Topics Accountancy Auditing Corporate & Other Laws Direct Taxation Indirect Taxation Financial Management Economics Costing Strategic Management Maths & Stats Exams Others AFM Financial Reporting CFA Level I

Joint cost

Costing

In this rtpmay19 , question 9 , sales-cost = profit rite? Then why institute has written it as sales+closing stock- cost = profit?

Swathi Krishna

CA Final

★ 8K+

15-Nov-20 10:39

317

Answers (2)

Because in Sales - cost Cost = cost of goods that are sold i.e COGS ( assuming these are no sales related expenses) COGS = Cost of production (COP) - closing stock (CS) Sales - COGS = Profit Sales - (COP - CS) = Profit Sales - COP + CS = profit

Sriram Somayajula

Admin

15-Nov-20 10:44

OK . Thax sir .

Thread Starter

Swathi Krishna

CA Final

★ 8K+

15-Nov-20 10:46

Connect With Us

Sales

964-011-1110 / 913-331-0549

Support

915-491-1196

964-011-1110

support@indigolearn.com

Company

About Us

Careers

Information

Testimonials

FAQ

Terms & Conditions

CIN: U74999TG2017PTC116012 | GSTIN: 36AAECI4332C1Z0 | PAN: AAECI4332C

IndigoLearn

Joint cost

Connect With Us

Company

Information

Courses

Course Guides

Offerings