Hi, This question is from a BA4 Mock and I keep going over it and over it and can't get the correct answer, so answers on a postcard or message as I can not see where I am going wrong with this one.
The following information is taken from the books during the month of May (VAT 20%)
Net sales from the Sales Day Book for the month £15,000
Gross Sales Returns from the Sales Return Day Book for the Month £600
Gross Purchases from the Purchase Day Book for the Month £4200
Damaged goods are written off due to a flooded warehouse (at cost) £5000
What will be the gross profit figure (after returns and damaged goods have been taken into consideration)