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D) cash payments 27. A sales return for credit is recorded in the: A) sales joun

ID: 2805517 • Letter: D

Question

D) cash payments 27. A sales return for credit is recorded in the: A) sales jounal B) general journal C) cash payments journal D) cash receipts journal 28. A subsidiary ledger is A) used in place of the general ledger if the general ledger is destroyed or stolen B) a group of accounts used by branches and subsidiaries of a corporate business C) a group of accounts with a common characteristic that provides detailed information about a control account in the general ledger D) used to post excess transactions if a general ledger account becomes full during an accounting period 29. A sales journal is used to record A) only cash sales of merchandise B) sales of all assets on credit and for cash C) only credit sales of merchandise D) credit sales of merch sales retums and a and sales discounts Page 68

Explanation / Answer

27.

A sales return for credit is recorded in the Sales journal as allowance of return. in this transaction Net sale of comapny decrease and income is decrese.

Option (A) is correct answer.

28.

a subsidiary ledger is group of accounts with common characteristics that provides detail information about a control account in the general ledger.

Option (C) is correct answer.

29.

A sales journal is used to record, credit sale of merchandise, sales return and allowances and sales discount.

Option (D) is correct answer.