Rate expenses of 1,500 are apportioned in the ratio 1:2 The gross profit for K is

Departments K Y
Opening 2,500 800
Purchases 120,000 100,000
Sales 180,000 200,000
Salary 8,000 30,000
Closing stock 3,000 1,500
Rate expenses of 1,500 are apportioned in the ratio 1:2

The gross profit for K is

A # 60,700

B #23,500

C #60,500

D #82,500

Answer is C