Ch 6 · Branch Accounts

5 concept points · 3 formulas · 4 exam-critical points.

📘 Core concepts

• 1Types: Dependent (debtors method, stock & debtors method) & Independent branches.
• 2Foreign branches translated as per AS-11 (integral / non-integral).
• 3Inter-branch transfers eliminated in HO books to avoid double counting.
• 4Unrealised profit on stock at branch eliminated through Stock Reserve.
• 5Final accounts incorporate branch trial balance after reconciliation.