Question

State whether the following statement is True or False
On credit sale of goods,Goods A/c is to be credited.

• A. True
• B. False

Answer 1

The correct option is A True

Goods A/c is a Real A/c. The rule for the Real A/c is Debit what comes in and Credit what goes out. Thus, we credit Goods or Sales A/c. In case of credit sales, the debtors or buyers A/c is debited.

Thus, the correct answer is A.