Which statement is true?
A)All purchases should be recorded in a purchases journal.
B)Closing and reversing entries will be found in the sales journal.
C)Returned merchandise from a customer should be entered in the sales journal.
D)All cash sales should be recorded in the cash receipts journal.

Question

Quizplus · Accepted Answer

All cash sales should be recorded in the cash receipts journal. The purchases journal is used to record purchases made on credit, the sales journal is used to record sales made on credit, and returns from customers should be recorded in the sales returns and allowances journal. Closing and reversing entries are typically recorded in the general journal.

Which Statement Is True