why closing stock taken which ever is less in Additional information Adjustment

sk

• Sumit
• 4961 Views
• 2 Answers

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  • Preeti
  • 26 Feb
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• Closing stock is not a part of historical values of accounting data. It is an additional information gathered and the end of any accounting period and is treated as an adjustment for carrying forward the unconsumed portion of the inventory purchased so that actual cost of goods sold can be compared against sales value...

  • Shruti
  • 26 Feb
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