Question

Which of the following account(s) will be affected, while rectifying the error of a purchase return of Rs.$200$ to Mr."A" entered in sales book instead of purchase return book?

• A. A's account only
• B. Sales account only
• C. Purchase returns account and Sales account
• D. Purchases account only

Answer 1

The correct option is C Purchase returns account and Sales account

Correct entry for Purchase Return:

Mr A A/c Dr....$Rs.200$

To Purchase Return A/c....$Rs.200$

The same has been erroneously recorded as :

Mr. A A/c Dr....$Rs.200$

To Sales A/c....$Rs.200$

In the given scenario, the account which remains unaffected is Mr. A's Account.

The account which are affected are Sales and Purchase Return Accounts.