sales return and some other questions
Hi,
I have too many question :o
assuming that
Purchases are recorded when the company receives the goods and sales are recognized when the goods sold are delivered to the customers.
1. If a customer returned a product and we issued a credit note for the amount that product worths. How do we journalize this? I know it should be in General journal but what will be the accounts which are affected?
the question was
on 13 may customer A returned $800 worth of product. Issued a credit note for 800.
2. what do we do if we returned a product and received credit note?
3.what do we do if we received a sales order to deliver product X to customer B for $500 on13th of may. It doesn't involve any cash or inventory so does it go to the general journal/?
is this revenue received in advanced or account receivable?
4. and what do we do when we delivered the product X to the customer B on 23rd?
5. what is going to be journal entry for customer B when they order the product is this Cash payment journal? Where do we post it in ledger?
6. what about when they receive the order?
thanks