Hi friends
If X LTd. sells a TV to Mr. Y for rs. 50000.
it is found to be defective and X Ltd. replaces it to Y with a new TV
what will b the entries in books of X LTd. and Y
V P Narasimhan
(Accounts Manager)
(791 Points)
Replied 09 December 2015
We can treat is as Sales Return so that Inventory also effected accordingly.
Shivani
(Learner)
(1881 Points)
Replied 13 December 2015
dear sir
if we get a sale return of an item due to some defect and which we know will not sell now, then how will we make its treatment in books.
what will be the entry and treatement in tally.
jaya krishna
(Chartered Accountant)
(262 Points)
Replied 13 December 2015
V P Narasimhan
(Accounts Manager)
(791 Points)
Replied 14 December 2015
Dear Madam
Sales Return A/c Dr
To: S. Debtors
Net Result: Sales+ Tax due will reduce to that extent & Out Standing i.e receivable from the Client will reduce to that extent .
Hope the abvoe clarifies.
CAclubindia
