Question

Make Journal Entries:(i) Bought goods from Kamal for 30,000. He offered a trade discount of 10% and a cashdiscount of 2%. Kamal paid 60% of the amount immediately.(ii) 10,000 was due from Mr. X who became insolvent. Only 40 paisa in a rupee could berecovered from his estate.​

Answer 1

Answer:

(i) purchase a/c Dr. 27000

To Kamal 10800

To Cash a/c. 15876

To Discount

received a/c. 324

(ii) cash a/c Dr. 4000

bad debts a/c Dr. 6000

To X. 10000

Explanation:

Give narration also for the above.