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Sales return journal or sale return day book

When a business makes sales to customers, it’s possible that some customers will return the sold goods because of defects, substandard goods or any other reason. When a customer returns the sold goods, it is recorded in sales journal and from sales journal it is transferred to sales ledger account.

Sales journal is used to record the entries or transactions for sales return or return inward.

Simple double entry for credit sales:

Debit--> Sales return or return inward

Credit--> Debtor-Customer’s name/description


DATE
CREDIT NOTE
CUSTOMER/ACCOUNT CREDITED
FOLIO
AMOUNT $
















Date Column: is used to record the date of sales return
Credit note Column: is used to record the No. of Credit note issued
Customer Column: is used to record the name of customer that returns your goods
Folio Column: records reference to sales return ledger account
Amount Column: Amount of sales return


EXAMPLE

Record the following transactions of XYZ store in a sales return journal for the month of march, 2011


   March 1.Returned goods by Mr. X worth $50 and credit note No. 342 was issued 
   March 21.Mr. Y returned some goods due to defects worth $100 and issued Credit note No. 343  
   March 26.Goods worth 150 were returned by Mr. Z,  Credit note number: 344
   March 30.The defective goods of worth $222 were returned by Mr. G, invoice#345 issued



Sales return journal

DATE
CREDIT NOTE
CUSTOMER/ACCOUNT CREDITED
FOLIO
AMOUNT $
Mar.  1
Mar. 21
Mar. 26
Mar. 30
342
343
344
345
Mr. X
Mr. Y
Mr. Z
Mr. G

50
100
150
222
Mar. 31
TOTAL
622