Accounting for IGCSE & O level - Final Statements (Section 7 - No. 19)
Where are sales returns and allowances typically recorded in the income statement?
As a component of cost of goods sold.
As a reduction from sales revenue.
As an operating expense.
As part of the beginning inventory.
Explanation
Sales returns and allowances are deductions from sales revenue, reducing the net sales figure.
Comments (0)
