Dear Chartered Accountants and Knowledgeable persons....
Opening stock VS closing stock
Some people's told to me the closing stock will be below of your opening stock ... everybody telling their own point including some Auidtors and accountants
Generally as per Accounting rules ,the closing stock how can I judge???
my humble request plse everybody give me a clarity information
Now I can explain:
Opening Stock : 14000
Purchase: 56000
GP (10% of sales): 8400
Total 78400
Sales : 62000
Then Closing stock will be 16400 less than opening stock.
It's a simple concept if you have more sale then you have less stock and if you have less sale then more stock.
CAclubindia
