Explanation
Raw materials, work in progress, and finished goods are the three main categories of inventory that are accounted for in a company's financial statements. Advance payments to suppliers are a part of other current assets. Hence, option (d) is correct.
Particular
Amt
To Opening stock A/c
1500000
By Sales A/c
2400000
To Direct expenses A/c
300000
To Gross profit transferred A/c
(25% of sales)
600000
By gross profit transferred A/c
To Selling & Distribution expenses A/c
200000
To advertisement A/c
100000
To Financial expenses A/c
50000
To Net Profit transferred A/c
250000
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