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both carriage inwards and carriage outwards or debited in the trial balance
It's Debit.
credit
It's a credit - if a company buys something - then returns it, they get credited with the money they have spent.
No sales returns and allowances has debit balance as a normal balance because these accounts are contra to actual sales account and that's why account balance is reverse of actual sales account.
both carriage inwards and carriage outwards or debited in the trial balance
It's Debit.
credit
It's a credit - if a company buys something - then returns it, they get credited with the money they have spent.
No - no more than the balance of your credit card does. Individual returns are not reflected on your credit report, only the balances of cards, high limits, etc.
No sales returns and allowances has debit balance as a normal balance because these accounts are contra to actual sales account and that's why account balance is reverse of actual sales account.
Debit
No, return inwards is not a current asset. It is sales returns and comes on the debit side of profit and loss account. otherwise, lessened from the sales on credit side
Purchases account has debit balance as default balance while purchases returns has credit balance as default balance because it is use to reduce the purchases account so debit decreases the purchase discounts while credit increases the purchase discount account.
That is correct. Sales and returns allowances is what is called a "Contra" account because it exists to reduce the net balance of an account. Sales is a credit account, so you debit sales returns and allowances in order to reduce your net sales.
Debit the supplier Credit the Purchases Returns account
a "credit balance" is money that you have.