Question

baro goods from Dinesh for rupees 3000 at 10% trade discount and 2% cash discount and paid 50% cash immediately​

Answer 1

Answer :

3000*10% = 300 (Trade discount)

2700*2% = 54. ( cash. discount)

Journal Entry :

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Dinesh a/c dr. 1323

Cash. a/c dr. 1323

Disc. a/c dr. 54

To sales a/c. 2700

Explanation:

Trade discount is not shown in the journal entry it is written in the NARRATION.

Cash discount is given at the time of payment.