TRADING ACCOUNT, Accounting Basics

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WHO PREPARES A TRADING ACCOUNT AND WHY?

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Q. What do you mean by Overhead? Overhead -- a cost that doesn't vary with the level of production or sales and generally a costnot directly involved with sales or production.

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Q. What is Purchase Discounts account? The buyer records the purchase discount merely when the invoice is paid within the discount period and the discount is taken. The Purchas

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