Question

Purchased goods from Kamal for RS 40,000 at a trade discount of 10%​

Answer 1

Answer:

In case you want to know the journal entry pls see below,

Explanation:

Trade discount is the discount provided by one trader to another for bulk purchase of goods. It is not recorded ine the books as it is given before the actual transaction happens.

So, the journal entry would be,

Purchase Ac Dr 36,000

To Kamal Ac 36,000

Calculation:

40000x10% = 4000

so total value of purchase= 40000-4000=36000