GP %calculation formula

Kollipara Sundaraiah (B.com) (2963 Points)

01 May 2020

purchased:20,00,000/-
sales: 21,00,000/-
closing stock : 1,00,000/-
G.P. : 2,00,000/-
How to calculate formula of GP precent(%)

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3 Replies

RAJA P M ("Do the Right Thing...!!!") (128029 Points)
Replied 01 May 2020

Calculate the percentage of GP in the total sale value of Rs 21 lakhs

(Guest)

Gross Profit is 9.52% (200,000/21,00,000) and it is always calculated in regards to Net Sales.

Pratik vora (Proprietor - Pratik Vora & Associates) (39 Points)
Replied 04 May 2020

Gross Profit percentage is normally taken using Sales as a Base. So the Formula for GP in terms of Sales shall be = GP / Sales *100

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