Concept:Actual cash payment refers to an expense that causes a real outflow of cash during the accounting period.
Explanation:Provision for depreciation is a non-cash expense. It only records the estimated wear and tear of an asset. No cash leaves the business.
Allowance for doubtful debts is also a non-cash expense. It is a provision made against possible future credit losses. No cash payment is made.
Discounts allowed is a reduction in the amount receivable from customers. It reduces the money received, but it is not a separate cash payment for an expense.
Carriage outwards is the actual transport cost paid by the business to deliver goods to customers. This involves paying cash to the transport company.
Therefore, carriage outwards is the item of expense that involves actual cash payment.
Answer:C. Carriage outwards