Asked by Adrian Badillo on May 25, 2024
Verified
If a company records merchandise it returns to suppliers in the general journal then
A) a posting must be made only to the accounts payable control account.
B) a posting must be made only to the accounts payable subsidiary ledger account.
C) a dual posting must be made.
D) there will be a debit to Inventory.
General Journal
A comprehensive ledger that records all the day-to-day financial transactions of a business.
Accounts Payable
Liabilities of a business that represent amounts owed to creditors for goods and services purchased on credit.
- Become proficient in the practices of documenting transactions in both general and subsidiary ledgers.
Verified Answer
NH
Nazia HicksMay 31, 2024
Final Answer :
C
Explanation :
When merchandise is returned to suppliers, a dual posting must be made. The journal entry will include a debit to Accounts Payable and a credit to Inventory. This will update both the Accounts Payable control account and the Accounts Payable subsidiary ledger account.
Learning Objectives
- Become proficient in the practices of documenting transactions in both general and subsidiary ledgers.
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