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Manufacturing

Manufacturing...

Question

Manufacturing a/c is prepared by the enterprise engaged in________.

A

trading activities

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B

manufacturing activities

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C

mining activities

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D

overseas export-import

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Solution

The correct option is C manufacturing activities
Manufacturing a/c is prepared by the enterprises engaged in manufacturing activities. This financial statement does not show profit and loss figures but rather the cost of direct materials and labour. A manufacturing account also includes production overhead.

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