Question

Give journal entries for the following :
a.Bought goods at list price of Rs.50,000 from vinod less 20%trade discount and 2%cash discount and paid 40%by cheque.
b.Sold goods to mohan at list price Rs.100,000 less 20%trade discount and 2% cash discount and paid 50%by cheque.
c.Paid income tax through cheque Rs.2,000
d.A fire occurred in the godown of ajay and he lost goods worth Rs.10,000. the stock was not insured.

Answer 1

c ) drawings a/c Dr 2000
to bank a/c. 2000
D) loss by fire a/c Dr. 10000
to purchase a/c. 10000
a) purchase a/c Dr. 40000
to bank a/c 15200
to discount received a/c 800
to vinod a/c. 24000
b). bank a/c Dr. 39200
discount allowed a/c Dr 800
mohan a/c Dr 40000
to sales a/c 80000