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Trading Account
| Term | Definition |
|---|---|
| Carriage Inwards | Transport costs of bringing goods/materials into the factory |
| Closing Stock | The Cost Price of the Goods the firm has in stock at the end of the period |
| Cost of Goods Available for Sales | The Total cost value of opening stock, goods purchased, and any other costs such as carriage |
| Cost of Sales | The total amount it costs the business to buy the goods/materials actually sold during the period |
| Import/Custom Duties | Any taxes the business paid on goods purchased (imported) from other countries |
| Opening Stock | The Cost of Goods held in stock at the start of the period |
| Purchases | The Cost of goods or materials bought during the period |
| Purchases Returns | The cost of goods purchased that were returned by the business to their suppliers |
| Sales | The value of the goods sold during the period |
| Sales Returns | The Value of goods sold that were returned to the business by customers |