On January 12th, Gates Gems returned merchandise they received on account from Gem Warehouse in the amount of $800. What is the journal entry to record this transaction? Debit Accounts Payable/Gem Warehouse, $800; credit Purchases Returns and Allowances, $800 Debit Accounts Receivable/Gem Warehouse, $800; credit Purchases, $800 Debit Purchases, $800; credit Accounts Payable/Gem Warehouse, $800 Debit Accounts Receivable/Gem Warehouse, $800; credit Purchases Returns and Allowances $800

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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On January 12th, Gates Gems returned merchandise they received on account from Gem Warehouse in the
amount of $800. What is the journal entry to record this transaction?
Debit Accounts Payable/Gem Warehouse, $800; credit Purchases Returns and Allowances,
$800
Debit Accounts Receivable/Gem Warehouse, $800; credit Purchases, $800
Debit Purchases, $800; credit Accounts Payable/Gem Warehouse, $800
Debit Accounts Receivable/Gem Warehouse, $800; credit Purchases Returns and Allowances
$800
Transcribed Image Text:On January 12th, Gates Gems returned merchandise they received on account from Gem Warehouse in the amount of $800. What is the journal entry to record this transaction? Debit Accounts Payable/Gem Warehouse, $800; credit Purchases Returns and Allowances, $800 Debit Accounts Receivable/Gem Warehouse, $800; credit Purchases, $800 Debit Purchases, $800; credit Accounts Payable/Gem Warehouse, $800 Debit Accounts Receivable/Gem Warehouse, $800; credit Purchases Returns and Allowances $800
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