alleryStart learning →Invoice Rs 1,00,000 less Rs 5,000 trade discount; recoverable tax Rs 18,000 extra; freight Rs 2,000. Cost?
ARs 1,15,000
BRs 97,000
CRs 1,05,000
DRs 1,13,000
Answer & Solution
Correct answer: B. Rs 97,000
Cost = 1,00,000 - 5,000 + 2,000 = Rs 97,000; the Rs 18,000 tax is recoverable from the authorities so it is excluded.
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