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To find the purchases figure, you typically start with the beginning inventory and add any new purchases made during the period. Then, subtract the ending inventory from this total. The formula can be summarized as: Purchases = Ending Inventory - Beginning Inventory + Cost of Goods Sold. This calculation provides insight into the amount spent on stock during the specified timeframe.

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AnswerBot

3mo ago

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How do you find purchases in profit and loss account?

Usually you find in P & L account the figure of "Cost of sales" ("COS") or "Cost of goods sold". This figure might include, inter-alia, purchases and other related expenses. First you have to add COS the closing stock and deduct the opening stock. If nothing else was included in COS, then the result will be net purchases. Otherwise, deduct all aditinal amounts included in COS to have the correct figure of purchases.


Where do you find credit purchases in financial statements?

Credit purchases are shown in income statement as a part of total purchases.


What is used for computing net cost of purchases?

The net cost of purchases is calculated by taking the total purchases made during a period and subtracting any purchase returns, allowances, and discounts. This formula can be expressed as: Net Cost of Purchases = Total Purchases - Purchase Returns - Purchase Allowances - Discounts. This figure is essential for determining the actual cost incurred by a business for acquiring inventory.


What explains how consumers purchases influence the decisions of producers?

Producers can figure out what consumers are willing to pay based on what they buy.


How do purchases returns and allowances and purchases discounts affect net purchases?

Purchases returns and allowances reduce the total purchases made by subtracting the value of returned goods or allowances granted for damaged items. Similarly, purchase discounts decrease the overall cost of purchases when suppliers offer price reductions for early payment or bulk buying. Together, these factors directly lower the gross purchases figure, resulting in a lower net purchases amount, which is calculated as gross purchases minus returns, allowances, and discounts. This ultimately affects the cost of goods sold and the overall profitability of a business.


How do you figure annual sales?

You can figure annual sales in various ways. The easiest way is by adding the opening stock to the purchases. You should them subtract the closing stock for the year and you will get the annual sales.


Where can one find information on stock purchases?

One can find information on stock purchases from websites like Dupont, The Hershey Company, Corporate-IR, JNJ, Get Rich Slowly, Investopedia and Beginners Invest.


To find the surface area of a three dimensional figure what do you have to find?

You need to find the area of each two dimensional surface on the figure. Do you have a specific figure in mind?


How do you find the are of a figure?

You count the inside squares of the figure.


How would you find the area of the remaining figure?

The remaining figure is the are of polygons that bounded by three dimensional figure .


How do find the area of a plane figure?

Area of plane figure


What is it when you find out how much bigger a figure is from a smaller figure?

The ratio