Question

14. The items in the Returns Outwards Journal are posted to the :
(A) Debtors account in the sales ledger
(B) Creditors account in the purchases ledger
(C) Returns outward account in the purchase ledger
(D) Debtors account in the general ledger

Answer 1

Answer:

These credit notes when received by the business are used to prepare return outwards journal or return outwards day book or (purchase returns). (iii) Recording in return outwards journal, as: (a) Individual amounts posted to debit side of suppliers' accounts in purchases ledger.