I n t e r a c t I v e t e X t foundations in Accountancy/ acca financial accounting (ffa/FA) bpp learning Media is an acca approved Content Provider

 

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   Establishing cost of sales 

Where inventory, sales or purchases is the unknown figure, it will be necessary to use information on 

gross profit percentages to construct a working for gross profit in which the unknown figure can be 

inserted as a balance. 

When the value of purchases is not known, a different approach might be required to find out what they 

were, depending on the nature of the information given to you. 

One approach would be to use information about the cost of sales, and opening and closing inventory 

rather than trade payables to find the cost of purchases.