# Did my exam today and need help!

kellypreston
AAT Student Posts:

**18**
I got completely thrown off a question when I needed to calculate sales from the following information:

Inventory holding period

Inventory

Gross profit margin

Net assets

Can someone please explain/provide a formula I would use to calculate sales based on this?I know you can calculate cost of sales from inventory and inventory holding period but then I got completely lost.

Can someone also tell me if AAT give you follow through marks? Because I made up a figure for sales so I could answer the other questions

Inventory holding period

Inventory

Gross profit margin

Net assets

Can someone please explain/provide a formula I would use to calculate sales based on this?I know you can calculate cost of sales from inventory and inventory holding period but then I got completely lost.

Can someone also tell me if AAT give you follow through marks? Because I made up a figure for sales so I could answer the other questions

## Comments

90You've got Inventory Holding Period = Inventory/C of Sales x 365. Once you've got Cost of Sales, you can work your way up to Sales.

18452Made up example:

Inventory Holding: 20 Days

Closing Inventory: £ 10,000

Gross Profit Margin: 20%

First work out missing pruchases figure: £ 10,000/20 Days * 365 Days = £ 182,500

Then Add Gross Margin to arrive at Sales £ 182,500 / 0.8 = £ 228,125

Hope this helps.

32Then if you know the gross profit margin is, for example, 20% you can find sales by multiplying COS by what you want by what you've got ie 100/80. This will give you a sales figure.

With regards to the follow through marks, I have no idea sorry. I should imagine if it is a human marked part of the exam that there would be, but can't give you any guarantee.

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