Q
Which of the following is not true with regard to preparation of Profit & Loss Account?
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A
A. Profit & loss account is prepared for a certain period and hence it is an interim statement
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B
B. Profit & loss account does not disclose the effect of non-financial items
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C
C. Net profits are ascertained on the basis of current costs
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D
D. Net profits as disclosed by p&l account is not absolute
Correct Answer:
A. A. Profit & loss account is prepared for a certain period and hence it is an interim statement
