Accounting 0452 · IGCSE · Manufacturing accounts

Manufacturing accounts — practice question

Thato’s work in progress had a higher value by the end of the year, and this was shown in his financial statements. What effect did this have on the cost of production and the cost of sales?

  • Acost of production decreased; cost of sales decreased
  • Bcost of production decreased; cost of sales no effect
  • Ccost of production increased; cost of sales increased
  • Dcost of production increased; cost of sales no effect

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