Question

purchase goods of rs. 15000 from chirag at 10% trade discount at 5% cash discount . amount paid immediately . explain​

Answer 1

Answer:

minus trade discount from the orignal cost and then minus the cash discount from the cost that came after minusing t.d and it is paid in cash

t.d wont be shown in journal bust cash dicount will be shown

Answer 2

Journal entry for Bought goods of list price ₹15000 from Ravi at trade discount 10% and 2 % cash discount and paid 40% amount by cheque will be;

___________________________

Purchase a/c dr 13500

to Bank a/c 5,292

to discount a/c 108

to ravi a/c 5100

(being goods purchased and 40% amount is paid by cheque to avail discount of 2%)