Question

make journal entry of sold goods to deepak of list price 20000 less trade discount 10%and cash discount 2%.Deepak gave cheque for 40% amount which was banked ......its very argent

Answer 1

Bank dr 19600

discount allowed dr 400

sales cr 20000

Answer 2

Hey

MRP - Rs 20000

Trade discount - 10%

= Rs 2000

So price after trade discount = Rs 18000

Now our sales will be of Rs 18000

We gave discount,

Now 40% amount was through chaque,
40 *180 =Rs 7200

2% trade discount on it,
So, 2*72 = Rs 144

Amount paid by chaque = Rs 7056

now, it is not written that how the rest 60% amount was paid, but name of purchaser is given so it will be credit mode.

Amount through debtor ( Rahul) =Rs 10800

Now journal entry.

Rahul - - - - - - - - - - Dr 10800
Bank A/c - - - - - - - - -Dr. 7056
Discount allowed a/c - Dr 144
To Sales a/c - - - - - - - - - - - - - - 18000