If a credit memorandum is issued, what account will be decreased on the seller's books?
A) Accounts Receivable
B) Sales Discounts
C) Sales
D) Sales Returns and Allowances

Question

Quizplus · Accepted Answer

A credit memorandum issued by the seller decreases the Accounts Receivable account because it indicates that the buyer's obligation to pay has been reduced, often due to a return or allowance.

If a Credit Memorandum Is Issued, What Account Will Be