Question

Discounted a bill for ₹5000 at 1℅ through bank?? pass the journal entry.​

Answer 1

The journal entry for discounting a bill of Rs. 5000 at a discount rate of 1% through a bank would be:

Debit: Bank Account (the amount received after deducting the discount)

Credit: Bill Receivable Account (the original amount of the bill)

The amount of discount will be calculated as follows:

Discount = Bill Amount x Discount Rate x Time

Time = Number of days between the date of discounting and the maturity date of the bill

Assuming that the maturity date of the bill is after 30 days from the date of discounting, the calculation of the discount will be as follows:

Discount = Rs. 5000 x 1% x (30/365) = Rs. 12.33 (rounded off)

So, the amount received by the party after deducting the discount will be Rs. 4,987.67 (Rs. 5000 - Rs. 12.33)

Therefore, the journal entry will be:

Debit: Bank Account - Rs. 4,987.67

Credit: Bill Receivable Account - Rs. 5000

Learn more about debit :

https://brainly.in/question/28627801

Learn more about credit :

https://brainly.in/question/34146128

#SPJ3