The following are the importance of branch account except

A.

It enable the organization to determine the branch that is making either profit or loss

B.

It allows proper control over the branch by the head office

C.

It assist the organization to determine the performance of a branch manager

D.

It allows fraud and wastage of resources

Correct answer is D

The activities and resources of branches is strictly monitored by the head office and each branch is supplied according to its need so it will be difficult to commit fraud or waste any resources.