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when goods are invoiced to branch at invoice price, the value of goods is adjusted by
Debiting goods sent to branch account
Debiting branch adjustment account
debiting stock reserve account
debiting branch account
The head office will make entries on the basis of selling price or invoice value of goods sent but, in order to ascertain the true profit, adjustment entries will have to be made for the difference between the invoice value of goods sent to the branch and their cost
For adjustment in the value of goods sent to branch : Goods Sent to Branch Account Debit ( Invoice value - cost value) Branch Account Credit
By: SWAPNIL AGGARWAL ProfileResourcesReport error
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