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Enquiries into profit and loss Geetha Venkataraman 1.

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Presentation on theme: "Enquiries into profit and loss Geetha Venkataraman 1."— Presentation transcript:

1 Enquiries into profit and loss Geetha Venkataraman 1

2 If money doesn’t grow on trees… 2

3 ..where does it come from? 3

4 It all comes from… 4

5 John sells fruits in the market 5 80 per kg Apples for sale 80 per kg Apples for sale

6 which he buys from the farmer – Old McDonald 6 60 per kg Cost of Apples

7 Every kg. of apple he sells, earns him … 7 80 per kg Apples for sale SELLING PRICE COST PRICE 60 per kg Cost of Apples

8 Profit of … 8 PROFIT 40

9 What if tomorrow, he buys at same price but can sell only at … 9 40 per kg Apples for sale

10 Loss of … 10 LOSS 40

11 overhead charges are added to C P to find the total C P. 11 Kevin charges John to carry apples to the market… Transportation charges 10 per kg

12 John bears a total cost of … 12 COST PRICE 60 per kg Cost of Apples Transportation charges 10 per kg OVERHEAD CHARGES Total Cost of Apples = 70 per kg Additional money spent on the articles purchased like repairing, transportation are called overhead charges.

13 On Christmas, he offers a 20% discount! 13 80 per kg Apples for sale 80 per kg Apples for sale

14 Anil gets his product at a discounted price of … 14 MARK PRICE 80 per kg DISCOUNT SELLING PRICE 64 per kg

15 Some Important Formulae.. 15

16 Any questions? 16

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