A debit of N40,000 to the branch stock account in the head office books will indicate that the head office has sent goods with a profit of

Head office sends goods to its branch at cost plus mark-up of of 25%. A debit of N40,000 to the branch stock account in the head office books will indicate that the head office has sent goods with a profit of

A N4000

B N6000

C N10000

D N8000

Answer is D

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