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Carriage inwards, which refers to the transportation costs incurred when goods are purchased and delivered to a business, is treated as an expense in the final accounts. It is typically added to the cost of goods sold in the trading account, thereby increasing the total cost of inventory. This treatment ensures that the true cost of acquiring inventory is reflected in the financial statements, ultimately impacting the gross profit calculation. In the profit and loss account, it is not shown as a separate line item but is included in the overall cost of sales.
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How are outstanding expenses treated in final accounts?
i don't no. please give answer.
How are the provisions for doubtful debts treated in the final accounts?
The debts are treated as expenses in the profit and loss account, being entered on the debit side of the income statement coloums.
What are characteristics of final account?
Final accounts are closed accounts at the end of a period in accounting. Final accounts cannot be changed and represent the transactions in an accounting period.
What is matching concept?
while preparing final accounts, accounts should show accruals and prepayments.the net amount for the financial year should be shown in the final accounts
What is the proforma for final accounts?
Trial balance
How are outstanding expenses treated in final accounts?
i don't no. please give answer.
How are the provisions for doubtful debts treated in the final accounts?
The debts are treated as expenses in the profit and loss account, being entered on the debit side of the income statement coloums.
What are the characteristics of final accounts?
Final accounts are closed accounts at the end of a period in accounting. Final accounts cannot be changed and represent the transactions in an accounting period.
What are characteristics of final account?
Final accounts are closed accounts at the end of a period in accounting. Final accounts cannot be changed and represent the transactions in an accounting period.
How were children treated in the final solution?
Children were treated good in the final solution
What is matching concept?
while preparing final accounts, accounts should show accruals and prepayments.the net amount for the financial year should be shown in the final accounts
What is the proforma for final accounts?
Trial balance
What are the duties of the final accounts department in an organisation?
The finance department of a company is responsible for preparing final accounts. The prepare the Balance Sheets and the profit and loss account.
How do you treat interest on debentures in final accounts?
is it a liability
What is preliminary expenses in final accounts?
It is deffered cost
How do you treat debenture interest in final accounts?
is it a liability
Format of final accounts?
sales less: slaes returns less:cost of goods sold opening stock purchass less:purchases returns add:carriage inwards less:closing stock less:drawings gross profit add:discount recievd less:carriage outwards wages discount allowed rent insuranc sundary expenses proprty tax NET PROFIT
