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Tamil Nadu Board of Secondary EducationHSC Commerce Class 11

What are the objectives of preparing trading account? - Accountancy

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Question

What are the objectives of preparing trading account?

Short/Brief Note
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Solution

  1. The trading account provides information about gross profit and gross loss.
  2. It provides an opportunity to safeguard against possible losses.
  3. It provides information about direct expenses and direct incomes.
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Chapter 12: Final Accounts of Sole Proprietors - 1 - Very short answer questions [Page 264]

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Samacheer Kalvi Accountancy [English] Class 11 TN Board
Chapter 12 Final Accounts of Sole Proprietors - 1
Very short answer questions | Q II 7. | Page 264
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