Terminologies Used In Trading Account - SS1 Accounting Past Questions and Answers - page 1
What does opening stock refer to in a trading account?
The value of inventory held at the beginning of a trading period
The value of inventory held at the end of a trading period
The total amount spent on purchasing inventory during a trading period
The total amount received from selling inventory during a trading period
What does COGS stand for in a trading account?
Cost of goods sold
Cost of goods stored
Cost of goods shared
Cost of goods saved
What is net profit in a trading account?
The profit earned from trading activities before deducting expenses
The profit earned from trading activities after deducting all expenses
The total amount spent on purchasing inventory during a trading period
The total amount received from selling inventory during a trading period
What is gross profit in a trading account?
The profit earned from trading activities before deducting expenses
The profit earned from trading activities after deducting all expenses
The total amount spent on purchasing inventory during a trading period
The total amount received from selling inventory during a trading period
What is closing stock in a trading account?
The value of inventory held at the end of a trading period
The value of inventory held at the beginning of a trading period
The total amount spent on purchasing inventory during a trading period
The total amount received from selling inventory during a trading period
What is the purpose of COGS in a trading account?
What is the difference between gross profit and net profit in a trading account?