Determine the closing stock?

Use the information below to answer question

Stock (1/1/02) at selling price……….N2000
Goods sent to branch (selling price)…..N?
Sales by branch (selling price)……….N4500
Stock (31/12/02)…………………….N?

Opening stock is 1/4 of goods sent to branch.

A. N5 500
B. N6 500
C. N2 500
D. N4 500

Correct Answer:

Option A – N5 500