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Commerce · Q1665

Accounting

Graduate and Post Graduate · Commerce · question 1665

Q1665

Assertion (A): Increasing the value of closing inventory increases profit. Reason (R): Increasing the value of closing inventory reduces the cost of goods sold In the context of the above two statements, which of the following is correct?

A.
Both (A) and (R) are correct
Answer
B.
Only (A) is correct
C.
Only (R) is correct
D.
Both (A) and (R) are incorrect

Answer: Option A

Solution

Answer: Option A
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