Accounting for IGCSE & O level - The Fundamentals Of Accounting (Section 4 - No. 7)

What is the purpose of a 'Credit Note'?
To indicate a decrease in the amount owed by the customer.
To indicate an increase in the amount owed by the customer.
To record cash payments.
To record sales transactions.

Explanation

A credit note indicates a decrease in the amount owed by the customer.

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