Sales of a scrap of raw materials appearing in the Trial Balance are shown____________________.

on the credit side of Trading Account

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on the credit side of Manufacturing Account

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on the credit side of Profit and Loss A/c

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Nowhere

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Solution

The correct option is B on the credit side of Manufacturing Account
Sale of scrap of raw material appearing in the trial balance are shown on the credit side of manufacturing Account. Scrap are goods that have become obsolete or outdated hence, when sold is an indirect income for the company and is to be shown on the credit side of manufacturing account.

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