Question

sold goods Rs 12000 to Thakur & Co., issued at 20 % above cost less 10% discount
Please pass journal entry...

Answer 1

Answer:

Cost price 12000 margin added 20% of CP = 20/100*12000 = 2400

Now SP = 12000+2400 = 14400

Discount - 10% on SP = 10/100*14400 = 1440

Explanation:

Journal entry :

Thakur & Co a/c 14400

To Discount allowed a/c 1440

 To Sales a/c 12960

(Being goods sold at 10% discount to Thakur & Co.)

Answer 2

Answer:

cash ac -dr 12960

discount allowed ac-dr 1440

to thakur &co.ac 14400