Question

When branch has paid some cash on behalf of the Head Office, for purchases made by H.O, the books of head office is debited by: *​

Answer 1

Answer:

The head office must, however, present one consolidated balance sheet for the benefit of the shareholders and the outside world. The head office will maintain, in its books, “Branch Account” to which goods or cash sent will be debited: When cash is received from the branch, the Branch Account will be credited.