CAF-1 · Chapter 12 · Question 15 of 15
If a company applies a uniform mark-up of 20% on cost, and its total Cost of Goods Sold is Rs. 200,000, what is the expected Sales Revenue?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: A) Rs. 240,000
Explanation
With a 20% mark-up on cost, Sales is equal to Cost + (Cost × Mark-up). Thus, 200,000 + (200,000 × 0.20) = Rs. 240,000.
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