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NABTEB Book Keeping 2015 Objective — Question 29

Question 29 of 40 from the National Business and Technical Examinations Board (NABTEB) Book Keeping 2015 Objective paper, with the correct answer and a full explanation.

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Carriage outwards is charged to the

  • A. credit side of trading account
  • B. debit side of trading account
  • C. credit side of profit and loss account
  • D. debit side of profit and loss accountCorrect

Explanation

Carriage outwards is a selling/distribution expense charged to the debit side of the profit and loss account, unlike carriage inwards which is charged in the trading account.

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