The adjusting entry for difference between the invoice price and cost price of goods are shown in ________
A)balance sheet
B)p & l a/c
C)branch adjustment a/c
D)none of above

Question

Quizplus · Accepted Answer

The adjusting entry for the difference between the invoice price and cost price of goods is shown in the branch adjustment account. This account is used to adjust the discrepancies between the invoiced price (selling price to the branch) and the actual cost price of goods sent to a branch.

The Adjusting Entry for Difference Between the Invoice Price and Cost