CA CPT June 2015 Question Paper Fundamentals of Accounting for online practice

Mr. Z purchased good for Rs. 20,00,000 and sold 4/5th of goods for Rs. 22,00,000, of which he receivedRs. 20,00,000 in cash . His expenses amounted to Rs. 2,50,000 during the year. Mr. Z counted of the netprofit as Rs. 1,50,000 for that year. Which concept is violated ?: