Using the following data, compute (i) Closing Inventory and (ii) Cost of sales under „current purchasing power? (CPP) method assuming that the firm is following LIFO method of inventory valuation:
|
Inventory as on 1/04/2010: |
Rs.2,40,000 |
|
Purchases during 2010: |
Rs.14,40,000 |
|
Inventory as on 31/03/2011: |
Rs.3,60,000 |
|
Price index as on 01/04/2010: |
100 |
|
Price index as on 31/03/2011: |
130 |
|
Average price Index for 2010: |
120 |