April 19, 2010
what is the ‘trading stock’ in accounting?
blessing asked:
I have no idea about the ‘trading stock’ in accounting.
It’s one of accounts list. what means it exactly?
please let me know……
thanks
in below case, i thought it’s a asset increased but the answer is expenses increased.
I have no idea about the ‘trading stock’ in accounting.
It’s one of accounts list. what means it exactly?
please let me know……
thanks
in below case, i thought it’s a asset increased but the answer is expenses increased.
A purchased tv sets as trading stock frm B.
why is this expense?
Danny
Comments on what is the ‘trading stock’ in accounting?
Maya
Capital Gains;
there are Long Term Capital Gains
and Short Term Capital Gains
You find these under Assets under long and short term investments…yes, it is an asset even if there is a loss.
Fredrick
It’s a matter of terminology. “Trading stock” is the English equivalent of the American “Merchandise inventory”.
In your case, if the answer is Expense, then you’re probably to suppose that the TV sets were sold. The cost technically is a cost of sale, and not an expense. If the sets were not sold, they should remain as a current asset as merchandise inventory or trading stock.