The Journal Entry to Record the Return of a Purchase

question 24

Multiple Choice

The journal entry to record the return of a purchase of inventory under the periodic system includes a:

• A) debit to Sales.
• B) credit to Purchases Returns and Allowances.
• C) credit to Merchandise Inventory.
• D) credit to Sales.

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Definitions:

Constitution

The fundamental principles or established precedents according to which a state or other organization is governed.

Democracy

A form of government in which the highest power in the state is invested in the people and exercised directly by them or, as is generally the case in modern democracies, by their elected officials.

Legitimate Government

A government that is recognized as the rightful authority, often based on its adherence to laws, norms, and the consent of the governed.

Libertarianism

A political philosophy that emphasizes freedom, autonomy, and voluntary association, with a significant focus on individual rights and minimal government intervention.