To Record a Return of Merchandise Purchased on Credit on the Books

question 25

Multiple Choice

To record a return of merchandise purchased on credit on the books of the buyer,the accountant would

• A) debit Purchases Returns and Allowances and credit Accounts Receivable.
• B) debit Purchases Returns and Allowances and credit Purchases.
• C) debit Accounts Payable and credit Purchases Returns and Allowances.
• D) debit Purchases and credit Purchases Returns and Allowances.