Question

In the books of consignor, the balance in the goods sent on consignment account is shown ___________.

• A. On the asset side to balance sheet
• B. On the liability side of balance sheet
• C. On the credit side of Trading A/c
• D. On the credit side of Consignment A/c

Answer 1

The correct option is A On the asset side to balance sheet

The goods sent on consignment belongs to the consignor as only the possession has passed to the consignee and the ownership still lies with the consignor. So, the balance in the goods sent on consignment account is shown on the asset side in the books of the consignor.