Alaka who owed Saka #15,000, settled his debt after deducting cash discount of 10percent. To record the discount in the book of Saka, debit

  • A discount recieved account and credit Alaka's account
  • B Alaka's account and credit discount recieved account
  • C Saka's account and credit discount recieved account
  • D discount allowed account and credit Alaka's account

The correct answer is D. discount allowed account and credit Alaka's account

Debit cash account and credit discount allowed account

Previous question Next question