A trader paid carriage on purchase of goods. It will be debited to: MCQ with Answer and Explanation

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A trader paid carriage on purchase of goods. It will be debited to:

A. Carriage Inward A/c

B. Carriage Outward A/c

C. Trading A/c (Direct expense)

D. Profit & Loss A/c

Answer: Option A

Solution (By JKSSB Mock Tests)

Carriage paid on purchases is a direct expense, debited to Carriage Inward A/c, and later transferred to Trading A/c.

This question belongs to: Accountancy and Statistics Accountancy and Book Keeping

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Correct Answer: Option D

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