Question

On earning the commission on sales, the Consignee debits in his books __________.

• A. Consignor A/c
• B. Profit & Loss A/c
• C. Commission Earned A/c
• D. Consignment A/c

Answer 1

Answer: (A)

Consignor A/c

The consignor is a creditor in the books of the consignee to whom the proceeds from sale are payable. So, the commission earned from sales from the consignor is debited in the consignor's account in the books of consignee.