Double Entry Flashcards
1
Q
What are returns outwards?
A
Purchases made BY the company that are returned to the supplier
2
Q
What are returns inwards?
A
Returns made TO the company by customers
3
Q
What account does return inwards go into?
A
Sales account
4
Q
What account does return outwards go into?
A
Purchase account
5
Q
If a purchase of inventory worth 10,000 euro from Daly is made on credit,
What takes place in your double entry?
A
Credit - daly
Debit - purchase account
6
Q
If 5000 worth of inventory purchased on credit was returned,
What a effect does this have on your accounts?
A
Debit - your supplier / accounts payable
Credit - return outwards
