Entry for Purchase Returns

by Jamshaid

Pakistani man with flag

Pakistani man with flag

productsQ: What is the entry for when the purchases are returned?

It is the opposite of the entry for when you purchased something.

When you purchase goods you record (assuming you pay for goods on credit, not cash on hand):

DR Inventory/Purchases
CR Creditor

So when you return a purchase, you record:

DR Creditor
CR Inventory/Purchases

Comments for Entry for Purchase Returns

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purchase return acc
by: haseeb.

then where is purchase return account? Don't you have to open a purchase return account?

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