Purchase Returns and allowance accounts
Not what you're looking for?
You are a bookkeeper at a small merchandising firm. You are comparing the income statements from the last three years. You notice the purchases Returns and Allowances account has been increasing at an alarming rate. If you were a manager, who would you speak to in the organization to help you understand why so much merchandise is being returned?
Purchase this Solution
Solution Summary
If I were a manager, the first place I'd probably go is to the front line staff. I would ask them if customers are saying anything related to their customer experience that is resulting in them returning the merchandise. The next place that I would look for information is the inventory management department.
Solution Preview
Hi there,
If I were a manager, the first place I'd probably go is to the front line staff. I would ask them if customers are saying anything related to their customer experience that is resulting in them returning the merchandise. The next place that I would ...
Purchase this Solution
Free BrainMass Quizzes
Understanding Management
This quiz will help you understand the dimensions of employee diversity as well as how to manage a culturally diverse workforce.
Learning Lean
This quiz will help you understand the basic concepts of Lean.
Understanding the Accounting Equation
These 10 questions help a new student of accounting to understand the basic premise of accounting and how it is applied to the business world.
Accounting: Statement of Cash flows
This quiz tests your knowledge of the components of the statements of cash flows and the methods used to determine cash flows.
Managing the Older Worker
This quiz will let you know some of the basics of dealing with older workers. This is increasingly important for managers and human resource workers as many countries are facing an increase in older people in the workforce