Credit memorandum
Credit memorandum is a piece of paper sent by the seller to a customer who has returned merchandise previously purchased on credit. The credit memorandum indicates to the customer that the seller is reducing the amount owed by the customer. Credit memorandum can also refer to an increase in depositor's balance.
Definitions
According to College Accounting: A Practical Approach by Slater (13th edition),
- Credit memorandum. Increase in depositor's balance.
- Credit memorandum. A piece of paper sent by the seller to a customer who has returned merchandise previously purchased on credit. The credit memorandum indicates to the customer that the seller is reducing the amount owed by the customer.
Related concepts
- Debit memorandum.
- Accounting (alternatively known as accountancy) is management of financial data, information, and knowledge about financial transactions of legal entities. Accountancy tends to include bookkeeping and, depending on a particilar enterprise, may also include quatitative analysis of financial data in the bookkeeping system and/or business intelligence.
