Sales Returns and Allowances

Sales Returns and Allowances (alternatively known as Sales Returns and Allowances account or SRA account) is a contra-revenue account that records price adjustments and allowances granted on merchandise that is defective and has been returned.

Definitions

Sales Returns and Allowances account (SRA account). A contra-revenue account that records price adjustments and allowances granted on merchandise that is defective and has been returned.

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.