Question

conpany a sold good to company b of rs 1000, cash discount rs 100. trade discount 10% pass the entry in the book of company b

Answer 1

Explanation:

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Answer 2

Answer:

Hi! Since you have not specified the book in which the entry is made, I have assumed it to be the Journal. Also, it is not mentioned whether payment has been made, part or whole, but cash discount is offered which indicates the payment of at least some amount.

The entry would be :

Date        Purchase A/c Dr.                                             900

                                 To Cash A/c / Bank A/c                                    800

                                 To Discount received A/c Dr                            100

( Being Company a sold good to company b of rs 1000, cash discount rs 100. trade discount 10%)

Hope this helps!