Concept:Invoicing goods to a branch at selling price gives automatic control over cash and stock while revealing the gross profit.
Explanation:When the head office charges goods to the branch at selling price, the branch account maintains that value.
This allows the head office to compute the expected cash from recorded sales and match it with cash actually received.
It also enables comparison of expected closing stock with the physical stock counted at the branch.
As a result, any shortage or surplus in cash or stock is detected easily, giving a reliable check.
The difference between selling price and cost price is the loading, which represents the gross profit.
Hence, the branch account itself discloses the gross profit directly without extra adjustments.
Answer:D. selling price