Day: September 21, 2022

At the end of a financial year the following information is available.

• sales – £200,000
• opening stock – £15,000
• closing stock – £18,000

If the business makes a standard mark-up of 25%, what were the purchases?

Select ONE answer:

1. £147,000
2. £153,000
3. £157,000
4. £163,000

Show your workings to arrive at your answer, and explain and justify your reasons:

……………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………………

This multiple-choice question is suitable for Accounting KS5 classes.

The answer is 4

1. Not correct
2. Not correct
3. Not correct
4. Correct – £200k / 1.25 + (£18k – £15k)

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