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The cost of goods returned by branch to head office is debited

Accounts - Principles of Accounts
WAEC 2016

The cost of goods returned by branch to head office is debited

  • A. Branch stock adjustment account
  • B. Goods sent to branch account
  • C. Branch stock account
  • D. Branch profit and loss account
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Correct Answer: Option C
Explanation

The head office will debit the particular branch asset (Branch Machinery, Branch Furniture, or Branch Building, branch stock account etc.) and credit Cash.

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WAEC and NECO CBT App for Mobile Devices - Candidates, Schools, Centres, Resellers - 100% Offline -Download Now
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