Question

If a Aram buys a good from us of ₹100000 .And we made 7.5% of profit in it .We gave him 4.6% of trade discount.He paid the money within two days so we allowed 3.7% of cash discount.<br />What is the Journal entry of it.

Answer 1

Cash 91870
Discount allowed 3530
To Sales 95400

Calculation of sales amount
selling price 100000
less: trade [email protected]% 4600
Net amount = 95400