Question

Which of the following business entity will not prepare Trading Account?

• A. Banking companies
• B. Insurance companies
• C. Investment companies
• D. All of the above

Answer 1

The correct option is D All of the above

Trading accounting is prepared only by those organization where the purchase and sale of goods is done.

Below are the entities which are not involve in any trading business, hence no trading account is prepared.

Banking Companies- It carries the business of taking deposits and lending money.

Insurance Companies- It carries Insurance business and provide services.

Investment Companies- It involves in advisory services. No trading.