Accounting for IGCSE & O level - The Fundamentals Of Accounting (Section 25 - No. 30)
What is the impact of a sales return on a business's working capital?
Working capital increases
Working capital decreases
No impact on working capital
It depends on the sale type
Explanation
Sales returns will decrease current assets (receivables) or result in higher current liabilities (if refunds are issued).
Comments (0)
