Neco Model Questions Vol1 2024 Financial Accounting Question 44

For a manufacturing firm the following data are available for the year ended 31 December 2024: - Opening raw‑material stock \(\text{₦}40,000\) - Closing raw‑material stock \(\text{₦}55,000\) - Direct labour cost \(\text{₦}120,000\) - Manufacturing overhead \(\text{₦}30,000\) - Opening finished‑goods stock \(\text{₦}70,000\) - Closing finished‑goods stock \(\text{₦}65,000\) - Sales revenue (cash and credit) \(\text{₦}500,000\) - A discount of \(3\%\) was allowed on credit sales, amounting to \(\text{₦}9,000\) and recorded as a reduction in sales. - Gross profit margin is known to be \(25\%\) of net sales. - Selling and administrative expenses \(\text{₦}45,000\) are fully recorded. - No purchase returns or freight‑in are recorded. - The purchase journal was lost; the amount of purchases is unknown. Determine the amount of purchases made during the year.