1321. Gross profit equals :

A. Sales minus purchases
B. Purchases minus closing stock
C. Net profit minus expenses
D. Cost of goods sold minus sales *

1322. Cost of sales equals :

A. Sales minus purchases
B. Closed stock plus purchases minus returns out
C. Sales+ opening stock -(Purchaser+ closing stock)
D. Opening stock- closing stock + purchase minus return out *

1323. Net profit equals :

A. Gross profit minus expenses *
B. Sales minus cost of sales
C. Sales minus expenses
D. Capital minus expenses

1324. A man buy 40000 $ worth of goods and sells them for 50000 $ His gross profit is :

A. 10000 $ *
B. 20000 $
C. 30000 $
D. 40000 $

1325. If the gross profit is 5000 $ and the net profit is 25% of the gross profit . The expenses must be :

A. 1250 $
B. 3750 $ *
C. 4150 $
D. 6250 $

1326. An operating statement is similar to a :

A. Trial balance
B. Balance sheet
C. Trading profit and loss account *
D. Bank reconciliation statement

1327. Net sales equals sales minus :

A. Return outwards
B. Return inwards *
C. Cost of goods sold
D. Carriage on sales

1328. All duties on goods purchased should be debited to :

A. Profit and loss account
B. Balance sheet
C. Trading account *
D. Position statement

1329. All those expenses which incurred to convert raw materials into finished goods or which may be (Regarded as a part of the cost of purchasing the goods are :

A. Direct expenses *
B. Indirect expenses
C. Sales expenses
D. Administrative expenses

1330. All the direct expenses are charged to :

A. Balance sheet
B. Profit and loss account
C. Trading account *
D. None of these