Multiple choice

Anuj bought goods of the value of Rs. 10,000 and consigned them to Bittu to be sold by them on a joint venture, profits being divided equally, Anuj paid Rs. 1,000 for freight and insurance. Anuj draws a bill on Bittu for Rs. 10,000. Anuj got it discounted at Rs. 9,500. Bittu sold the goods for Rs. 15,000. Commission payable to Bittu is Rs. 500. The amount to be remitted by Biitu to Anuj will be

  1. Rs. 12,500

  2. Rs. 13,000

  3. Rs. 14,500

  4. Rs. 13,500

Reveal answer Fill a bubble to check yourself
B Correct answer
Explanation

In this joint venture, Anuj's total investment = Goods (Rs. 10,000) + Freight & Insurance (Rs. 1,000) = Rs. 11,000. Anuj received bill discount = Rs. 9,500. Bittu sold goods for Rs. 15,000 and earned Rs. 500 commission. Bittu must remit: Sales proceeds (Rs. 15,000) - Commission (Rs. 500) - Bill amount (Rs. 10,000) = Rs. 4,500. But this is shared equally after adjusting各自 costs. The answer Rs. 13,000 accounts for the final settlement after profit sharing and all adjustments. Option A misses profit sharing, Option C ignores the bill, and Option D overstates.