Goods costing rs.2,00,000 sold at loss of 5% out of which rs.1,20,000 received in cash. Iska j/e

Goods costing rs.2,00,000 sold at loss of 5% out of which rs.1,20,000

1.	Goods costing rs.2,00,000 sold at loss of 5% out of which rs.1,20,000 received in cash. Iska j/e
Answer» Since given that on 5% loss we sold the goods so , amount of loss on good will be 2,00,000/100 × 5 = 10,000 So , original sp = 2,00,000-10,000 = 1,90,000So the given journal entry will be :- Cash A/C. Dr. 1,20,000Debtors A/c dr. 70,000 To sales A/c 1,90,000 Goods less by 2,00,000 and cash add 1,20,000 create debtors colum 70,000 and 10,000 less by capital Casha/c dr.120000 Debtors a/c dr.70000 ToSales A/c190000