Calculate Net Sales and Net Purchases. What else is needed to prepare a Trading Account?

Net Sales are calculated by subtracting Return Inward (Sales Returns) from Sales.

$$\text{Net Sales} = \text{Sales} - \text{Return Inward}$$ $$\text{Net Sales} = \text{₦}60,000 - \text{₦}10,000$$ $$\text{Net Sales} = \text{₦}50,000$$

Net Purchases are calculated by subtracting Return Outward (Purchases Returns) from Purchases.

$$\text{Net Purchases} = \text{Purchases} - \text{Return Outward}$$ $$\text{Net Purchases} = \text{₦}250,000 - \text{₦}5,000$$ $$\text{Net Purchases} = \text{₦}245,000$$

To prepare a complete Trading Account and determine the Gross Profit, the closing stock as of 31st December 2025 would also be required. The provided "Stock (C/L, 1/1/2025)" represents the opening stock.

• Net Sales: $\boxed{\text{₦}50,000}$
• Net Purchases: $\boxed{\text{₦}245,000}$