Question

received from Asha cash ₹1200 and a cheque for ₹3200 allowed discount ₹400 Do entry on Two column cash book, is this a contra entry​

Answer 1

Answer:

The deposited amount is written in the bank column on debit side and cash column on credit side. The withdrawn amount is written in the cash column on debit side and bank column on credit side. Important: The contra entry is made only when the cash is withdrawn for business use.