Question

The return of goods by the customer should be debited to _____________.

• A. Customer A/c
• B. Sales return A/c
• C. Goods A/c
• D. Purchase return A/c

Answer 1

Answer: (B)

Sales return A/c

Goods sold to the customer can be returned by the customer due to various reasons. This has to be recorded in books of account as sales return.

The accounting entry will be as under:

Sales return A/c Dr, (Real A/c- Debit what comes in)

To Customer A/c (Person a/c- Credit the giver)