Accounting treatmeny of closing stock whicj includes profit margin
Answers
Answered by
0
According to the prudence concept or conservatism principle, closing stock is valued at market price or cost price whichever is less...
For example- if the value of closing stock is ₹100 in the trial balance but it is revalued at₹80 in the adjustment , then ₹80 will be considered the appropriate amount of closing stock
Hope this answer satisfies you
For example- if the value of closing stock is ₹100 in the trial balance but it is revalued at₹80 in the adjustment , then ₹80 will be considered the appropriate amount of closing stock
Hope this answer satisfies you
Similar questions