Question

Goods worth6000sold to sehwag at trade discount 5percent (journal entry)

Answer 1

sehwag a/c. -------------dr. 5700

To Purchase a/c. 5700

(being goods sold to sehwag on credit at 5% trade discount)

Answer 2

Answer:TD = 6000/100×5 =300

List price = 6000-300= 5700

J/E = sehwag A/c Dr 5700

To sales A/c 5700

Explanation:trade discount is not expressively accounted for