Purchase A/c Rs.100 Input Tax Dr Rs.10 To Cash Discount Recd. Rs.5

purchases for rs100. vat @ 10% and cash discount rs 5 what
is the entry passed

Question Posted / sadashiva

Answer Posted / sadashiva

Purchase A/c Rs.100
Input Tax Dr Rs.10

To Cash Discount Recd. Rs.5
To Cash Rs.105
(Being Cash paid towards the purchase of Book)

Is This Answer Correct ?

5 Yes

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