Question

Bhavesh paid Rs 11800 in full settlement. Which are the two accounts involved.

Answer 1

Journal Entry : Cash A/C or Bank A/C.  Dr  Rs.11,800 Discount Allowed A/C.  Dr Rs.xxx       To Bhavesh A/C.  Rs.(11800+xxx) (Being Bhavesh settled his Account) Here, you can see 3 Accounts may involve, Cash or Bank ; Discount; Bhavesh. If no discount is allowed then only 2 accounts will be involved : Cash or Bank ; Bhavesh

Answer 2

There are two accounts which are involved:- 1. Cash a/c (sure) 2. Bhavesh's a/c(sure) This may be there if any discount is allowed :- discount allowed a/c