Question

sold goods to Kailash of the list price of 100000 at trade discount of 15%
Kailash return goods of the list price of 4000
received from Kailash the amount due from him under cash discount of 5%​

Answer 1

Kailash A/c Dr. 85000

To sales. 85000

(Being goods sold to kailash on trade dis.)

Sales 3400

To sales return. 3400

(Goods returned by kailash)

Cash. 77520

Dis.allowed. 4080

To kailash. 81600

(Cash received from kailash and allowed 5% cash dis.to him)