A returned asset should be recorded
A) as a direct reduction to inventory.
B) in a separate account from inventory.
C) at the same value it was sold for, without considering impairment.
D) Silly question, returned assets aren't recorded.

Question

Quizplus · Accepted Answer

Returned assets should be recorded in a separate account from inventory to accurately track the movement of goods and any associated costs. This also allows for easier identification and management of returned items.

A Returned Asset Should Be Recorded