Good wills & Co. of Kolkata (H.O.) has a branch at Bhubaneswar. The goods are supplied to branch at 25% less than the list price which is cost plus 100% of cost. From the following particulars, prepare trading account of the H.O. and of the branch:
|
H.O. Rs |
B.O Rs |
|
|
Opening Stock |
15,000 |
8,250 |
|
Purchases during the Year |
11,25,000 |
– |
|
Goods sent to Branch |
4,67,500 |
– |
|
Goods received from H.O. |
– |
4,67,500 |
|
Goods sold to Dealers |
6,27,500 |
– |
|
Goods sold to Customers (at List Price) |
8,00,000 |
6,00,000 |
Note: The H.O. supplies goods to its dealers at the same price at which they are supplying