Goods returned to branch by customers is recorded in the head office books be debiting?

A. bank account and crediting branch stock account
B. goods sent to branch account and crediting branch debtors’ account
C. branch stock account and crediting branch debtors account
D. branch debtors’ and crediting cash account

Correct Answer:

Option C – branch stock account and crediting branch debtors account

Explanation

By debiting branch stock account and crediting branch debtors account