Why is simple bookkeeping useful for a handicraft artisan?
Answer and explanation
Correct answer: To understand income, expenses and profit
Simple bookkeeping records income from sales, the cost of raw materials and other expenses, and the resulting profit. It helps an artisan set prices, control costs, and understand profit or loss. Deciding product decoration is not the main purpose of bookkeeping. Exam tip: Remember that profit is calculated as income minus expenses.
Frequently asked questions
What is the correct answer to this question?
To understand income, expenses and profit
Why is this the correct answer?
Simple bookkeeping records income from sales, the cost of raw materials and other expenses, and the resulting profit. It helps an artisan set prices, control costs, and understand profit or loss. Deciding product decoration is not the main purpose of bookkeeping. Exam tip: Remember that profit is calculated as income minus expenses.
Which subject and chapter does this question cover?
This is a Class 11 Home Science question. Chapter: Work, Livelihood and Career. Topic: Traditional occupations in India - Handicrafts.
