Debit: Purchases Credit: Accounts Payable Debit: Cash Credit: Sales
Debit Cash Credit Sales
[Debit] Sales returns [Credit] Cash / bank [debit] Sales revenue [credit] sales return
When goods refund:[Debit] Sales returns[Credit] accounts receivable / cashAdjusting entry:[Debit] sales revenue[Credit] Sales returns
Sales has credit balance as default balance so it means only credit can increase the sales and that;s why all debit reduces the sales because it is reverse of credit balance.
[Debit] Sales return [Credit] Cash /bank [Debit] Sales [Credit] Sales return
Debit: Purchases Credit: Accounts Payable Debit: Cash Credit: Sales
Debit Cash Credit Sales
Credit
[Debit] Sales returns [Credit] Cash / bank [debit] Sales revenue [credit] sales return
When goods refund:[Debit] Sales returns[Credit] accounts receivable / cashAdjusting entry:[Debit] sales revenue[Credit] Sales returns
Sales has credit balance as default balance so it means only credit can increase the sales and that;s why all debit reduces the sales because it is reverse of credit balance.
Cash/Bank/Accounts Receivable [Debit] Sales[Credit]
sales generally have credit balance .debit balance of sales would mean that a firm is incurring loss on sales
credit credit credit
[Debit] cash 2600 Credit sales 2600 Deposited to bank Debit Bank 2600 Credit Cash 2600
Sales(debit) and income summary (credit)