Question

Chaise
Ca Choose the correct answer for the transaction
Punchase goods worlth = 2,00,000 from subhan
at 10% thade do discount and 5% Cash
discount. Half to of the payment made immediately
and remaining payable in feuture, find
amount paid to subhan immediately in cash​

Answer 1

Purchase=2,00,000

Less TD =(20,000)

1,80,000

Payment made in cash = 90,000

Less CD = (4,500)

85,500

Amount left to be paid = 90,000

JOURNAL ENTRY

Purchase a/c Dr 1,80,000

To Cash a/c 85,500

To discount received a/c 4,500

To Subhan a/c 90,000

HOPE IT HELPS