A debit to Accounts Payable for a return of goods on account will be posted to the controlling account but not to the individual creditor's account.

Question

Quizplus · Accepted Answer

When a return of goods on account occurs, the debit to Accounts Payable should be posted both to the controlling account and to the individual creditor's account to accurately reflect the transaction and maintain detailed records of transactions with each creditor.

A Debit to Accounts Payable for a Return of Goods