Question

cheque 700 recived from C in settlement of a debt of 750 returned dishonored whats the journal entry

Answer 1

Answer:

• the customer has paid the money before and now it needs to be adjusted
• When the cash discount is given to customer on sale for one time settlement.
• Treatment
• Amount received from ram should be debited by adjusting any discount given to ram.And crediting personal account of Ram.