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Use the following information to answer the given question \(\begin{array}{c|c} N \\ ...

Use the following information to answer the given question
\(\begin{array}{c|c} & N \\ \hline \text{Sales} & 14,600 \\ \text{Purchases} & 5,500 \\ \text{Return inward} & 150 \\ \text{Rent} & 2,000 \\ \text{Salaries} & 1,000 \\ \text{Discount received} & 400\\ \text{Closing stock} & 250 \\ \text{Opening stock} & 100\end{array}\)
Net profit is
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  • A N9,100
  • B N7,850
  • C N7,750
  • D N6,500
Correct Answer: Option D
Explanation:
sales 14,600less; sales returns 150 14,450purchases --------- 5,500disc, received ---- -400 5,100 opening stock------ 100closing stock-------- -250cost goods sold 4,950 9,500 Rent -------- 2,000salaries --- 1,000 3,000Net profit 6,500

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