Question

purchase goods form john for rs 10000 he allowed a 10% trade discount

Answer 1

the trade discount is 1000 as

$10000 \times 10 \div 100$

$= 1000$

and trade discount entry shown after deducting from it

Purchase a/c. ....dr. (9000)

To John/john's a/c. 9000

(being goods purchased from john with trade discount 10%)

Answer 2

Trade discount will be deducted from goods purchase.

Goods purchased = 10000

Trade discount (10% on purchases) = 1000

So the net purchases will be 9000