Kylie runs a heating system supply business.Her closing inventory at her 31 December year end is £32 447, valued at cost.This figure includes a total cost of £2400 in respect of 20 immersion heating units which cost Kylie £120 each some months earlier.This type of unit is now becoming obsolete and Kylie has decided to sell them off at £50 per unit in the New Year. Her opening inventory was £29 955.Revenue for the year was £162 250 and purchases were £122 483.Kylie incurred import duties of £3350 in respect of a consignment of Japanese boilers.
What was Kylie's gross profit for the year ended 31 December, applying the rules of inventory valuation?

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The Answer of Kylie runs a heating system supply business.Her closing inventory at her 31 December year end is £32 447, valued at cost.This figure includes a total cost of £2400 in respect of 20 immersion heating units which cost Kylie £120 each some months earlier.This type of unit is now becoming obsolete and Kylie has decided to sell them off at £50 per unit in the New Year. Her opening inventory was £29 955.Revenue for the year was £162 250 and purchases were £122 483.Kylie incurred import duties of £3350 in respect of a consignment of Japanese boilers.
What was Kylie's gross profit for the year ended 31 December, applying the rules of inventory valuation?

Kylie Runs a Heating System Supply Business