Answer to Question #266573 in Financial Math for Jos

Question

Nyamindi and his wife run a store and he presented the following figures for his

income and expenditure accounts

Expenses

Purchase of groceries

6,215

Income

Sales

16,000

Wages to staff

3,912

Sale of

furniture

350

Staff costs

360

Charity wins

1,000

Electricity

613

Loss

2,066

New Oven

30

0

Rent

1500

Other consumables

270

Repairs and renewals

816

Insurance

430

Salary to wife

1,500

House hold expenses

2,500

Car expenses

TOTAL

19,416

The car and rental expenses are to be apportioned between the family and the business at

the ratio of 2:3 while insurance premiums include 100 shillings for Mr. Nyamindi’s life

policy.

Calculate the adjusted profit for tax purposes: