ACCA FIA FA1 Complete Chapter 12 Well Explained/ SALES AND SALES RETURN/ STEP BY STEP COMPLETE GUIDE

Chapter twelve is about sales and sales returns, and how a business records them accurately inside an accounting system. It covers these main areas: entering sales transactions into the system, using the correct customer account and the correct sales details coding data, meaning using sales codes and customer codes so the system can post to the right ledger accounts and produce reliable reports recording sales and returns, including what happens when a customer returns goods and the business issues a credit note sales tax on credit sales: how to record sales tax, and how it affects the sales tax general ledger account trade receivables and customer balances: how sales invoices increase what customers owe, and how credit notes reduce what customers owe practical system work: entering sales invoices and credit notes into the accounting package The chapter scenario shown is “Gourmet Supplies”, where sales are grouped into product categories and all supplies are subject to sales tax at a rate of twenty percent.