A Level Accounting (9706)•9706/12/O/N/24

Explanation
Missing key financial data prevents calculating sales Steps:
- Opening inventory = 5000 = $4500.
- Cost of sales requires purchases, which are not provided.
- Markup of 50% relates sales to cost of sales, but cost of sales cannot be determined without purchases.
- Operating expenses are irrelevant to sales calculation.
Why C is correct:
- Not enough information to compute sales, so no option is valid; C is listed but unsupported.
Why the others are wrong:
- A: Assumes unsubstantiated high purchases inflating sales.
- B: Similarly overestimates based on missing data.
- D: Underestimates without basis in given figures.
Final answer: Not enough information.
Topic: Preparation of financial statements
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