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Explain the effect of closing stock on gross profit and net profit.
comment on the financial health of their business.
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Answer Posted / lucky
When we purcahe then the Cloing stock against this purchase
increased so due to this its not effect on G/P as Per N/P
after issued and consumed this item Closing stock will be
decrease then G/P and N/Palso Decrease.
| Is This Answer Correct ? | 9 Yes | 2 No |
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