Question

Details of sales, expenses etc. prepared by consignee and sent to the consignor periodically is know as

• A. Invoice
• B. Pro-forma invoice
• C. Sales account
• D. Account sales

Answer 1

Answer:

D. Account sales

In consignment transactions, the consignee sells goods on behalf of the consignor. The consignee prepares a detailed statement showing: Sales made Expenses incurred (like freight, insurance, commission) Amount due to the consignor This statement is sent periodically to the consignor and is called Account Sales. Other options: Invoice: A bill for goods sold, issued at the time of sale. Pro-forma invoice: Preliminary invoice sent before goods are dispatched. Sales account: Ledger account recording sales, not a periodic statement from consignee.