Question

Journalise the following transactions in the books of Ajay:

a) Sold goods costing Rs.40, 000 to Ashok for cash at a profit of 25% on cost less 20%

Trade Discount and paid cartage Rs.200.(to be charged from the customer)

b) Purchased goods costing Rs.60, 000 from Nikhil for Rs.75, 000 at a cash discount of

10%​

Answer 1

Answer:

A) Cash a/c Dr 8000

Cartage a/c Dr 200

To Sales a/c 8200

B) Purchase a/c

To cash a/c

To discount allowed a/c