If only wages is shown on the trial balance, it should be charged to the

  • A profit and loss account
  • B trading account
  • C balance sheet
  • D wages account

The correct answer is A. profit and loss account

Wages should be charged in the trading account only if shown separately on the trial balance from salaries. In such circumstances, the assumption, unless you are otherwise told, is that the wage is a direct trading expense to be included in the trading account while salary is an Indirect (i.e overhead) expense to be included in the P & L account.

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