the loss incurred on an incomplete contract is transferred to A c ........

Costing - Phase (I & II) Methods of Costing

Download Solution PDF

the loss incurred on an incomplete contract is transferred to .................... A/c

balance sheet

profit and loss a/c

trading a/c

none of the above

छोटे Courses बड़े Results

Master Methods of Costing

Prepare through Micro-courses

Try Now

Explanation:

In contract costing, there will be no difficulty in dealing with the profit if the contract is completed in the same financial year. If contract is incomplete there are certain rules on the basis of which a proportionate amount will be transferred to profit & loss account.In case of loss on incomplete contract, this will be transferred to profit & loss account.