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Att study question

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I am trying to work out the gross profit.

the only information I have is that purchases are £825.00

gross profit is 25%

the answer is £275 however I can only get £206.25

is the book wrong or am I working it out wrong?
 

 

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Scalloway Castle
By scalloway
20th Oct 2019 21:03

£825 is 3/4 of the selling price

£825 /3 = £275

£1,100 /4 = £275

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Replying to scalloway:
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By mumpin
21st Oct 2019 09:39

Easier to stick with percentages:
Sales = 825/75*100 =1100
1100-825=275

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By Sheepy306
20th Oct 2019 21:20

Is this an AAT or an ATT question?

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Replying to Sheepy306:
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By Accountant A
20th Oct 2019 22:07

Quote:

Is this an AAT or an ATT question?

It's an "Abuse of the Anonymous facility" question.

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Replying to Accountant A:
Psycho
By Wilson Philips
21st Oct 2019 00:03

Why is it an abuse? The poster has clearly stated that they want help with a study question. They may well be embarrassed were their identity to be known. I don’t see anything wrong with remaining anonymous in a case like this.

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Replying to Wilson Philips:
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By Accountant A
21st Oct 2019 01:21

Quote:

Why is it an abuse? The poster has clearly stated that they want help with a study question. They may well be embarrassed were their identity to be known. I don’t see anything wrong with remaining anonymous in a case like this.

You don't see anything wrong; I do. Hope that helps.

https://www.accountingweb.co.uk/node/add/any-answers

"Please note that posting as an anonymous user is reserved for sensitive content that you need help with but don't want people to know who you are.

However, it will also mean that other users will not be able to get in touch with you or see your history on the site and therefor might not be as willing to provide you with a reply.

Any abuse of the ability to publish anonymously will not be tolerated and offending users will be banned from AccountingWEB."

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Replying to Accountant A:
Psycho
By Wilson Philips
21st Oct 2019 02:45

I don’t believe that it is your position to dictate what one person may consider to be sensitive. In the context of the question, and the probability (in my opinion) that the poster is not a regular contributor, the poster is no more anonymous than you are. By the same token, though, it is not my place to tell you what should and should not upset your sensibilities. If it bothers you that much, simply report it.

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Replying to Wilson Philips:
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By Tax Dragon
21st Oct 2019 06:30

The OP might have felt embarrassed. That's a shame, because there's no such thing as a stupid question when you're studying. I hope s/he has learned the lesson that you need to read the question, which said "purchases" rather than "sales". S/he needs to have learned, of course, that GP is a percentage of the latter.

That said, and despite my own antipathy towards the (use of the) anonymous facility, I agree with you this time.

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Replying to Tax Dragon:
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By Mr_awol
21st Oct 2019 11:00

I'd say it is a misuse (albeit not necessarily an abuse) of the anonymous feature.

Sensitive, to me, means more than just being embarrassed that you don't know something basic. As mentioned above, when starting out there are no stupid questions. In fact, even experienced staff in the main office call out the odd stupid question - mainly from the bookkeeping department about whether countries are/aren't in the EU*, whether there's VAT on toilet roll, etc. I've no problem with that.

* Turkey seems to be a frequent cause of confusion, along with Switzerland......

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