[DSQUAD8637]

When a customer returns goods for credit, should the seller credit accounts payable or credit accounts received?

[zrhodes]

When a customer returns goods for credit, should the seller credit accounts payable or credit accounts received?

Rcvbls

[Too Short]

When a customer returns goods for credit, should the seller credit accounts payable or credit accounts received?

Accounts received

[yangsoo]

Accounting customer's return depends on circumstances.
Ex 1. It was cash sales and you can reshelf the returned good.
Debit: Inventory (Returned item) Credit: Cost of Goods Sold
Debit: Sales Credit: Cash

Ex 2. It was cash sales and you can't redisplay. It needs some treatments to be reshelved.
Debit: Inventory Credit: Cost of Goods Sold
Debit: Sales and Expense (for the treatment) Credit: Cash and/or other that matches the expense (for the treatment)

Ex 3. It was credit card sales
Debit: Inventory Credit: Cost of Sales
Debit: Sales Credit: Chargeback to customer

There involve many accountable transactions such as taxes, discounts, etc.

[lest1696]

When a customer returns goods for credit, should the seller credit accounts payable or credit accounts received?

Remember, it is the point of view of the seller; therefore, credit accounts receivable. :-)