Write the difference between return inwards and return outwards.

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Solution

Goods which we purchased on credit if returns back it is called return outwards(Purchase return) where as goods which we have sold and returned by the customer is called return inwards(Sales Return)

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Similar questions

Q. Sales - Rs.

1, 60, 000

, Returns Inwards - Rs.

10, 000

, Gross Profit - Rs.

60, 000

and Returns outwards - Rs.

15, 000

. The cost of goods sold is:

Given the following data: Purchases Rs. 4,500, Returns outwards Rs. 300, Returns inwards Rs. 150, Carriage outwards Rs. 830, Carriage inwards Rs. 260, Opening stock Rs. 935, and closing stock Rs. 1,100. The value of the cost of goods sold is:

Q. Assuming no returns outwards or carriage inwards, the cost of goods sold will be equal to _______.

Q. Prepare Returns Inward and Return Outward Books of Manoj, Mumbai from the following transactions and post them into Ledger Accounts:

2019
March 1	Mathur Bros., New Delhi, returned:
	5 pairs of Shoes for being defective @ ₹ 2,000 per pair
	Less: Trade Discount 10%, IGST was charged @ 18%
March 5	Returned to Kanpur Leather Private Ltd., Kanpur:
	100 pairs of Chappals being not up to the approved sample. They were purchased @ ₹ 300 per pair
	Less: Trade Discount 15%
	IGST was paid @ 18%
March 12	Baluja Shoes Co., Mumbai, returned 12 pairs of ladies chappals sold to them @ ₹ 4,000 per pair
	Less: Trade Discount 10%, CGST and SGST was charged @ 9% each
March 20	Returned to Bata Shoes Pvt Ltd., Mumbai:
	100 pairs B.S.C Canvas Shoes @ ₹ 500 per pair
	Less: Trade Discount 15%
	CGST and SGST was paid @ 9% each

Rectify the following errors.

(a) Sales book undercast by Rs. 300.

(b) Purchase book undercast by Rs. 400.

(d) Return outwards book undercast by Rs. 100.

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