Question

With reference to consignment loading is the difference between _________________.

• A. Selling Price and Cost Price
• B. Selling Price and invoice Price
• C. Invoice Price and Cost Price
• D. Invoice Price and Net Realisable Value
• E. Cost Price and Net Realizable Value

Answer 1

The correct option is C Invoice Price and Cost Price

The difference between the cost price and the invoice price of goods is known as loading or the higher price over the cost. This is done with a view to keep the profits on consignment secret.