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WHAT IS CASH DISCOUNT & TRADE DISCOUNT?

Answer Posted / sadia

Bothe are forms of discount offered or recieved by us.
Only, trade discount is not recorded in books, but cash
discount is.

This means, when make a an entry first deduct trade
discount, the adjusted figure should be entered as cost
price, next record with cash dicount on either side of
petty cash book.

Is This Answer Correct ?    3 Yes 2 No



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