Concept:The branch stock adjustment account is used to record the loading or excess charged on goods sent to a branch.
Explanation:Goods are often sent to a branch at invoice price, which is higher than the cost price.
The difference between invoice price and cost price is called loading.
The branch stock adjustment account is specially prepared to record this loading.
It shows the amount of loading included in the branch stock.
This account is therefore prepared at invoice price.
If the credit side is greater than the debit side, it reveals gross profit.
If the debit side is greater than the credit side, it reveals gross loss.
Answer:C. invoice price