Question
If a purchase return of ₹1,000 has been wrongly posted
to the debit of the sales returns account, but has been correctly entered in the suppliers’ account, the total of the:Solution
Explanation: Purchase return is normally recorded on the credit side , but here it was wrongly debited to the sales return account , which is also a debit account . So, instead of crediting ₹1,000, we debited an additional ₹1,000. This causes a double error of ₹2,000 on the debit side .
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