If goods were returned to branch by the customers, the correct posting for this transaction is to debit?
-
A.
branch debtor’s account and credit head office account -
B.
head office account and credit branch stock account -
C.
branch stock account and credit branch debtors’ account -
D.
branch cash account and credit branch stock account
Correct Answer: Option C
Explanation
Debit branch stock account (stock have increased by what was returned) and credit branch debtors’ account