Question

Entry of opening stock in cash book

Answer 1

the valuation of closing stock and recording the value of closing stock in the books are two different aspects. after ascertaining the value of the closing stock, it is to be brought into the books accounts.

the basic purpose of accounting is derivation of information and the more information we need the more the accounting heads we need to maintain.

for each addition of information that we intend to derive from the books of accounts, we create and use an additional ledger account.

Answer 2

Answer:

balance b/d  amount      by balance c/d amount

Explanation:

in last year amount of closing a/c will be become the amount of next year (amount of balance c/d of last year = the amount of balance b/d)