C. Sales return, Bob
[tex]\begin{tabular}{|c|c|c|c|} \cline{1-4} \cline{1-4} \multicolumn{2}{|c|}{\sf Debit } & \multicolumn{2}{c|}{\sf Credit} \\ \cline{1-4} \multicolumn{2}{|c|}{\sf Bob } & \multicolumn{2}{c|}{\sf sales returns} \\ \cline{1-4} \multicolumn{2}{|c|}{\sf Bob } & \multicolumn{2}{c|}{\sf purchase returns} \\ \cline{1-4} \multicolumn{2}{|c|}{ \sf Sales returns } & \multicolumn{2}{c|}{Bob} \\ \cline{1-4} \multicolumn{2}{|c|}{Purchase returns} & \multicolumn{2}{c|}{Bob} \\\cline{1-4} \end{tabular}[/tex]
Breakdown of what's happening:
Credit means borrowing goods and will return them later. Here Credit: Bob
as he borrowed goods from Tariq and returning them.
When comes to sales return and purchase return. Recall,
purchase return: credited
sales return: debited
Hence, debit - sales return, credit - Bob. option C is correct.
