Waec Model Questions Vol1 2021 Financial Accounting Question 27
Practice objective / multiple choice question 27 from the 2021 Waec Model Questions Vol1 Financial Accounting examination.
A merchandising firm had opening inventory of ₦80,000. During the year it purchased goods costing ₦250,000 and returned purchases worth ₦10,000. Freight in amounted to ₦5,000. Sales were ₦400,000 with sales returns of ₦15,000. The gross profit rate is 25% of net sales. At year‑end the closing inventory is unknown. Depreciation on furniture (cost ₦50,000) is charged at 10% per annum and bad debts written off amount to ₦3,000. Determine the net profit for the year.
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About This Question
This is Waec Model Questions Vol1 2021 Financial Accounting Question 27. It is one of the objective questions from the 2021 Waec Model Questions Vol1 Financial Accounting examination.
Difficulty level: Medium .
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