Question

Purchase goods from a rs. 10000 cash discount 5% and trade discount 2%

Answer 1

hey mate

here is your answer

list price--> 10,000

trade discount (2%)---> 200

agreed price ---> 9,800

cash discount (5%)--> 490


journal entry

purchase A/C dr 9800
to cash A/C. 9310
to discount A/C. 490

(being goods purchased at 5%cash discount)