Rectification of error

Accountancy

Goods worth 1,000 were sent on sale or return basis to a customer and entered in the Sales Book. At the close of the year, the customer still had the option to return the goods. The sale price was 25% above cost. Plz explain

Gopal Garg

CFA L1

★ 5K+

30-May-21 03:32

655

Answers (2)

You need to show it as inventory, reduce from sales and reduce debtors.

CA Suraj Lakhotia

Admin

30-May-21 17:48

Deducted the sales and customer as per sir answer and added to stock on cost value

Attachments

Dhavali Dhavali

CA Foundation

★ 4K+

04-Jun-21 09:44