Distinction between Consignment and sale
Consignment :-
vOwnership of goods is not transferred to consignee.
vConsignee is not liable for
losses.
vAll expenses are born by
consignor.
vThe document sent along
with goods sent to consignee is called 'Performa invoice".
vConsignee does not become
debtor on receipt of goods. He becomes debtor on sale of goods.
vConsignee receives
commission on sale of goods.
Sale:-
vOwnership of goods is transferred
to the buyer.
vBuyer is liable for losses.
vBuyer meets his own
expenses.
vThe document sent on sale
of goods is called 'Invoice'.
vBuyer becomes debtor
immediately on receipt of goods.
vBuyer does not receive any
commission. He earns profit on sale of goods.
Distinction
Between Abnormal Loss And Normal Loss
Abnormal Loss
· Abnormal loss
occurs due to accident natural calamities or negligence.
·
This loss does not affect Gross Profit.
·
Accounting entry is made for such loss.
·
This loss can be insured against various contingencies.
· This loss is
not certain. This depends on the happening of certain event.
Normal Loss
· Normal loss
occurs due to inherent characteristic of goods, e.g. normal leakage,
evaporation etc.
·
This loss effect Gross Profit.
·
No accounting entry is made for such loss. This is automatically absorbed in Gross
profit.
·
This loss cannot be insured.
· This loss is
almost certain. This occurs during transit or storage due to inherent
characteristic of goods.
.png)
.png)
.png)
.png)
.png)
.png)
Top Reviews
Introduction to Statistics for CA Foundation
Introduction to Statistics for CA Foundation Business Mathematics, Logical Reasoning and Statistics is designed as per latest CA Foundation syllabus for Paper 3 to provide a firm grounding in the principles, techniques and practice. The book adopts self-study approach and has been written in student-friendly manner. With a blend of conceptual learning and problem-solving approach, it offers in-depth understanding of the basic mathematical and statistical tools. #introductiontostatistics
.jpg)
Chapter X of Companies Act 2013
Chapter X of Companies Act 2013 The company shall place the matter relating to such appointment for ratification by members at every annual general meeting. ... Under the Act, the provisions for rotation of auditors in the listed Company & certain other class of Companies, have been provided for. #chapterxofcompaniesact2013
.jpg)
Relevant sections under the Companies Act, 2013 dealing with fraud and false statements
Relevant sections under the Companies Act, 2013 dealing with fraud and false statements The new parent corporate law “The Companies Act 2013” is mostly ... I am limiting my write-up to the provisions to the Act, and I request the readers to refer relevant rules, if any, before ... in the 2013 Act is the Section 447 dealing with “Punishment for fraud”. ... Section 448
.jpg)
What is Corporate Image
What is Corporate Image A corporate identity or corporate image is the manner in which a corporation, firm or business enterprise presents itself to the public. The corporate identity is typically visualized by branding and with the use of trademarks, but it can also include things like product design, advertising, public relations etc #WhatisCorporateImage
.jpg)
What is Energy Audit
What is Energy Audit An energy audit is an inspection survey and an analysis of energy flows for energy conservation in a building. It may include a process or system to reduce the amount of energy input into the system without negatively affecting the output. #whatisenergyaudit
