Question

packing distribution comes in which account in final account

Answer 1

After having checked the accuracy of the books of accounts through preparation of Trial Balance, businessman wants to ascertain the profit earned or loss suffered during the year and also the financial position of his business at the end of the year. For this purpose he prepares ‘Final Accounts’ which are also termed as ‘Financial Statement’. These include the following:

1.         Trading Account

2.         Profit and Loss Account

3.         Balance Sheet