Trading account is one of the most useful income statements inclusive of financial statements to find out a company’s gross profit or gross loss. In this account, expenses done in favor to purchase raw materials and other direct expenses are included.
One must find out about the direct expenses such as those to acquire goods or raw materials. In order to continue production this part is most important.Those are:
After gathering all necessary goods for production, expenses are done for the next part i.e. the manufacturing of goods:
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