What is the correct accounting treatment, if the closing stock of Rs 20,000 is given as adjustment?

It shall be shown on the debit side of trading account & assets side of balance sheet as Rs 20,000

No worries! We‘ve got your back. Try BYJU‘S free classes today!

It shall be shown on the credit side of trading account & assets side of balance sheet as Rs 20,000

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

It shall be shown on the debit side of trading account & liabilities side of balance sheet as Rs 20,000

No worries! We‘ve got your back. Try BYJU‘S free classes today!

It shall be shown on the credit side of trading account & liabilities side of balance sheet as Rs 20,000

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is B
It shall be shown on the credit side of trading account & assets side of balance sheet as Rs 20,000

It shall be shown on the credit side of the trading account & assets side of the balance sheet as Rs 20,000

Suggest Corrections

Similar questions

If 'adjusted purchases' and 'closing stock' are given in the trial balance, will you transfer 'closing stock' to trading account? Give reason.

20, 000

What is meant by closing stock? Show its treatment in final accounts.

=

11, 000

= 1 / 10^{t h}

1, 00, 000

Join BYJU'S Learning Program