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SSC Financial and Cost Accounting P-1 QUESTION #9664
Question 1
Which of the following items appears on the DEBIT side of the Branch Account under the Debtor System in Head Office books?
  • Closing stock at branch
  • Cash received from branch
  • Opening liabilities at branch✔️
  • Goods returned by branch to HO
Correct Answer Explanation
Opening liabilities are debited to the Branch Account (they reduce the net opening capital of the branch from the HO perspective). Opening assets are also debited. Closing assets and all cash/goods received from the branch are credited.