profit and loss a/c
by-product a/c
process a/c
abnormal gain a/c
Answer is Wrong!
Answer is Right!
The correct answer is: B. by-product a/c
A by-product is a secondary product of a manufacturing process that has a relatively low sales value compared to the main product. By-products are usually sold at a reduced price, and the revenue from their sale is credited to the by-product account. The by-product account is then closed to the profit and loss account at the end of the accounting period.
The other options are incorrect for the following reasons:
- Option A: The profit and loss account is a financial statement 41.5 48.3 47.8C117.2 448 288 448 288 448s170.8 0 213.4-11.5c23.5-6.3 42-24.2 48.3-47.8 11.4-42.9 11.4-132.3 11.4-132.3s0-89.4-11.4-132.3zm-317.5 213.5V175.2l142.7 81.2-142.7 81.2z"/> Subscribe on YouTube