When closing stock is overstated, it would reduce,
...When closing stock is overstated, it would reduce,
Cost of sales and increase gross profit
Gross profit and increase cost of sales
Purchases and increases sales
Sales and increase purchases
Correct answer is B
When closing stock is overstated, the cost of goods available for sale will be high and the gross profit low. The higher the cost of sales, the lower the gross profit.
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Which of the following is not an Appropriation account item for a company? ...
Opening stock ₦ Department A B 100 800 ...
Cost of raw materials available------ 32,000 Manufacturing wages -----10,000 Factory expenses...
Which of the following items of expense involves actual cash payment? ...
Expense paid during the conversion of a partnership to a company are? ...