Income Statements

Question 1

How do you work out Gross Profit

Answer 1

Gross Profit = Reveneue - Cost Of Sales

Question 2

How do you Wok out Reveneue

Answer 2

Revenue(Sales) - Sales Returns gives the revenue figure

Question 3

Give the things needed to work out Cost of Sals

Answer 3

1.Opening Inventor
2.Purchases
3.Return Outwards(Purchase Return)
4.Carriage Inwards
5.Closing Inventory

Question 4

Whats the order to work out Cost Of Sales

Answer 4

Inventory + Purchases - Purchase Returns + Carriage Inwards - Closing Inventory

Question 5

Name 3 Things which you could have to add on onto Gross Profit

Answer 5

• Commission Recieved
• Rent Receieved
• Dicount Receieved