# Help Required getting my head around missing figures in order to complete accounts

Registered Posts: 13 Regular contributor ⭐
Hi,

I'm on Chapter 14 Osbourne books Account Prep 1 and 2. I have to say I really have to understand things in order for it to sink in, I thought I was making good headway but am struggling with my assignment with premier (assignment 2 ap2 - Michael Mckintosh), so if anybody can help me on the opening question it will be much appreciated, in the most basic of explanations please.:confused1:

• Registered Posts: 38 Regular contributor ⭐
Markup is always based on cost of sales.

Margin is always based on sales.

Excercise 14.1 we are given cost of sales is £200,000 and the markup is 30%

Therefore we can use the markup formula to work out the gross profit.

Gross Profit = 30% of £200,000= £60,000.

Now we can work out the sales value by adding Gross profit to Cost Of Sales.

Therefore Sales = £200,000+ £60,000=£260,000
• Registered Posts: 214 Beyond epic contributor 🧙‍♂️
even easier way 200000*130/100=260000
• Registered Posts: 422
easiest way 200000*1.3=260000
AAT

Level 2 - 2010
Level 3 - 2011
Level 4 - 2013

ACCA

F4 - 2015
F5 - 2015