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Tju [1.3M]
3 years ago
13

Explain what a debit memorandum is by completing the following sentence.When a buyer returns or takes an allowance on merchandis

e, the __________ issues a debit memorandum to inform the __________ of a debit made to the seller's account inthe buyer's records
Business
1 answer:
tangare [24]3 years ago
4 0

When a buyer returns or takes an allowance on merchandise, the Buyer issues a debit memorandum to inform the Seller of a debit made to the seller's account in the buyer's records

Explanation:

A debit memorandum is an information recording adjustment for three particular cases: reducing the account balance of a bank customer, under filling goods or services or a small credit balance internally offset to a customer account. 

A debit receipt is provided to an account holder in financial institutions stating that now the balance of the account was reduced due to a cause apart from cash withdrawal or cash search. Because of bank fees or bundled check expenses, debit memos may arise. Usually, the memos and their monthly bank statements are forwarded to bank clients.

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