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Which of the following is apportioned in proportion of the purchases of each department?

Accounts - Principles of Accounts
JAMB 2025

Which of the following is apportioned in proportion of the purchases of each department?

  • A. Carriage outwards
  • B. Selling commission
  • C. Bad debts
  • D. Discounts received
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Correct Answer: Option D
Explanation

Trading and profit or loss accounts are prepared for each department following normal procedures. Common expenses are apportioned, while discount received is apportioned based on each department’s purchases.


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