Question

Bought goods for the list price of 100000 at 20% trade discount and 5% cash discount. journalist the transaction.

Answer 1

Answer:

Purchases a/c Dr 80000

To Cash a/c. 76000

To discount received a/c. 4000

Explanation:

Trade discount is not recorded in the books off accounts

Answer 2

Answer:

bought goods for cash of the list price of 100000 at 20%tread discount and5%cash discount