Jewellery bill › Old gold exchange

Old gold exchange on a jewellery bill

When a customer gives old gold against new, three numbers decide the value: the weight, the cut for melting and impurity, and the rate you pay for that purity.

The three numbers

• Weight of the old item as weighed in front of the customer.
• Melting cut %: the share you deduct for melting loss and impurity, agreed with the customer.
• Rate per gram you pay for that metal and purity that day.

Worked example

Old chain 10 g, cut 5%, rate ₹6,500 a gram: net weight 9.5 g, value 9.5 × 6,500 = ₹61,750. If the new ornaments come to ₹2,01,653 with GST, the customer pays ₹2,01,653 − ₹61,750 = ₹1,39,903.

Where it goes

The old gold is added to your stock in grams at its value, so your stock register matches the shelf. In the App’s books the value is booked as a purchase and set off against what the customer owes.

If the old gold is worth more than the bill

The maker does not allow it: make the bill larger, or pay the customer the difference as a separate payment.