Carriage Inwards & Outwards

Carriage Inwards – Is the cost of transport of goods into the firm.

Duty on Purchases – Is the taxes or tariffs paid on the imported goods.

Carriage Outwards – Is the cost of transport of goods out of the firm to its customers, it is not part of the firm’s expenses in buying the goods and is always entered in the Profit and Loss Account as an expense not the Trading Account.

Please note that all 3 items above are Expense Items. (refer txtbook pg 97)

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One Response to Carriage Inwards & Outwards

  1. leks says:

    i realy appreciate what i read

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