Question

Sold goods to Anuradha for 1,00,000 on terms 10% trade discount and 5% cash discount if the payment is received within 15 days 80% payment is received on March 18 by cheque

Answer 1

Answer:

Explanation:

Anuradha A/c Dr 95,000.00

     TO Sales A/c            95,000.00

(Being sold goods to Anuradha for 1,00,000 on terms 10% trade discount and 5% cash discount)

Bank A/c Dr        72,200.00

Discount A/c Dr   3,800.00

    To Anuradha A/c                76,000.00

(Being 80% payment is received on March 18 by cheque)

Note : Presumed that payment was received within 15 days.  As date of sale of goods was not given