Question

In a burglary at the godown of Bharat Goel on the night of 14th July, 2016 part of the stock was stolen.
From the following particulars, find out the estimated value of loss of stock by theft.

$\begin{array}{cc}& Rs.\\ \text{Stock on 1st April, 2016}& 1,20,000\\ \text{Purchases from 1st April to 14th July, 2016}& 8,20,000\\ \text{Sales from 1st April to 14th July, 2016}& 12,00,000\\ \text{Stock remaining after burglary}& 24,000\end{array}$

The normal rate of gross profit for his business is 30% of selling price.

Answer 1

$\begin{array}{cccccccc}\text{Dr.}& & & & \text{Trading Account}& & & \text{Cr.}\end{array}$
$\begin{array}{cccc}\text{Particulars}& \text{Amt. (Rs.)}& \text{Particulars}& \text{Amt. (Rs.)}\\ \text{Opening Stock}& 1,20,000& \text{Sales}& 12,00,000\\ \text{Purchases}& 8,20,000& \text{Closing Stock (Balancing figure)}& 1,00,000\\ \text{Gross Profit at 30\% on Sales}& \underset{–}{3,60,000}& & \underset{–}{}\\ & \underset{–}{13,00,000}& & \underset{–}{13,00,000}\end{array}$

$\begin{array}{cc}& \text{Rs.}\\ \text{Stock on 14th July, 2016 as calucalated above}& 1,00,000\\ \text{Less: Stock remaining after burglary}& \underset{–}{24,000}\\ \text{Value of stock stolen}& \underset{–}{76,000}\end{array}$