Concept:A credit note received by a purchaser reduces his liability to the supplier, and such reduction is recorded in the purchases ledger control account.
Explanation:Ayo is the purchaser in this transaction.
A credit note is issued when goods are returned to the supplier or when there is an overcharge on an invoice.
In Ayo's books, this credit note reduces the amount he owes to the supplier.
The supplier's individual account is included in the purchases ledger control account.
When the amount owed to a supplier decreases, the supplier's account is debited.
Therefore, the credit note should be entered on the debit side of the purchases ledger control account.
Answer:Option C. Debit side of the purchases ledger control account.