Question

Sales are recorded on the ______ side of the ______.

Options

• Debit, trading account

• Credit, trading account

• Debit, profit and loss account

• Credit, profit and loss account

Answer 1

Sales are recorded on the Credit side of the trading account.

Explanation:

Sales include both cash and credit sales. Sales returns, or outward returns, are deducted from total sales, and net sales are credited to the Trading account.