On 31st March goods sold at a sale price of Rs. 60,000 were lying with customer,...

 

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On 31st March goods sold at a sale price of Rs. 60,000 were lying with customer, Mohan to whom these goods were sold on 'sale or return basis' and recorded as actual sates. Since no consent was received from Mohan, the adjustment entry was made presuming goods were sent on approval at a profit of cost plus 20%. In the balance sheet, the stock with customers account will be shown at A Rs. 60,000 B C D Rs.48,000 Rs.40,000 Rs. 50,000. On 31st March goods sold at a sale price of Rs. 60,000 were lying with customer, Mohan to whom these goods were sold on 'sale or return basis' and recorded as actual sates. Since no consent was received from Mohan, the adjustment entry was made presuming goods were sent on approval at a profit of cost plus 20%. In the balance sheet, the stock with customers account will be shown at A Rs. 60,000 B C D Rs.48,000 Rs.40,000 Rs. 50,000.

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