ACCA FA · Chapter 3 · Question 5 of 10
In which book of prime entry would a credit note issued to a credit customer for goods returned first be recorded?
Test yourself: pick an answer
Reveal answer & explanation
Correct answer: B) The sales returns day book
Explanation
A credit note issued to a customer reduces the amount the customer owes for goods returned, so it is a sales return and is recorded in the sales returns day book. Credit notes received from suppliers go in the purchase returns day book. The sales day book records invoices issued, and the cash book records receipts and payments.
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