Question

What is the difference between dependent branch and foreign branch

Answer 1

TYPES OF BRANCHES • Branch selling goods for cash only is DEPENDENT branch. Branch selling goods for cash and credit both is INDEPENDENT branch. Branch supplying goods at invoice price is FOREIGN branch. ... POWERS TO INCUR H.O sends cash to the It has its own cash EXPENSES branch to pay its balance to pay its expenses.

Answer 2

There are three different types of branches.

• Dependent Branches: Branches do not keep the full system of accounting and touch competiton of business. Such Branches sell only to those places where they can receive from the head office.
• Independent Branches: Branches which keep a full system of accounting for host and home branches. Also, these branches are treated as individual and independent branches.
• Foreign Branches: The branches that are located in any country other than the home country. It follows all the regulations of both the home and host countries.