Answered

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supplied goods costing
RS. 600 to mohan and
issued invoice at 10%
above cost and allowed
5% discount.​

Sagot :

abiolataiwo2015

Answer:

Dr Mohan account 627

Cr Sales 627

Explanation:

Preparation of Journal entry

If the amount of RS. 600 is the goods costing that was supplied to mohan in which the issued invoice is 10% above cost with a 5% discounts the First step will be to calculate the Invoice price.

Calculation of the invoice price

Invoice price=[600+10%*600)+[5%*(600+10%*600)]

Invoice price=(600+60)-[5%*(600+60)]

Invoice price=660-(5%*660)

Invoice price=660-33

Invoice price=627

Now let prepare the Journal entry

Dr Mohan account 627

Cr Sales 627

(Being to record good sold to Mohan)

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