Topics
Introduction to Book-Keeping and Accountancy
- Accounting
- Book-Keeping
- Accountancy
- Book-Keeping vs. Accountancy
- Basis (Methods) of Accounting System
- Qualitative Characteristics of Accounting Information
- Basic Terms in Accounting
- Transaction
- Capital and Drawings
- Debtors, Creditors and Bad Debts
- Expenditure and Its Types
- Discount and Its Types
- Solvent Person vs. Insolvent Person
- Accounting Year
- Trading Concerns vs. Not for Profit Concerns
- Concept of Goodwill
- Fundamentals of Business Earnings
- Concepts of Assets, Liabilities and Net Worth
- Accounting Principles
- Accounting Concepts
- Core Accounting Concepts
- Accounting Standards
Meaning and Fundamentals of Double Entry Book-Keeping
Journal
- Accounting Documents
- Goods and Service Tax(GST)
- Types of Accounting Documents
- Voucher
- Tax Invoice (Under GST)
- Credit Memo
- Receipt
- Cheque
- Types of Cheques
- Books of Accounts
- Books of Accounts > Journal
- Journal Entries
- Journal Entries > Goods Account
- Journal Entries > Recording Discount in Journal
- Journal Entries > Other Important Journal Entries
Ledger
Subsidiary Books
- Concept of Subsidiary Books
- Cash Book
- Cash Book > Simple Cash Book (Single Column Cash Book)
- Cash Book > Two Column Cash Book (With Cash and Bank Columns)
- Cash Book > Petty Cash Book
- Simple Petty Cash Book
- Analytical Petty Cash Book
- Purchase Book
- Purchase Return Book
- Sales Book
- Sales Return Book
- Journal Proper
Bank Reconciliation Statement
- Accounting Documents Used in Banking
- Accounting Documents Used in Banking
- Pay-in-Slip
- Withdrawal Slip
- Bank Pass Book
- Bank Statement
- Bank Advice
- Concept of Virtual Banking
- Bank Reconciliation Statement(BRS)
- Cash Book vs Pass Book : Causes of Differences
- Time Difference(Regarding BRS)
- Errors and Omission Made by Bank or Businessman
- Formats of BRS
- Preparation of BRS
- Cash Book and Pass Book Comparison for Common Period
- Cash Book and Pass Book Balances for Different Periods
- Bank Balance as per Cash Book (Favourable / Debit Balance)
- Bank Balance as per Pass Book (Favourable / Credit Balance)
- Overdraft as per Cash Book (Unfavourable / Credit Balance)
- Overdraft as per Pass Book (Unfavourable/Debit balance)
- Reconciliation of Debtors and Creditors
Depreciation
Rectification of Errors
Final Accounts of a Proprietary Concern
Single Entry System
- Concept of Single Entry System
- Single Entry System vs. Double Entry System
- Parts of Single Entry System
- Statements of Affairs
- Statement of Profit or Loss
- Statement of Profit or Loss > Net Worth Method
- Practical Problems on Single Entry System
- Definition: Discount
- Types of Discount
- Examples
Maharashtra State Board: Class 11
Definition : Discount
A discount is a reduction in price given by a seller to a buyer
Maharashtra State Board: Class 11
Types of Discount
Maharashtra State Board: Class 11
Examples
Goods purchased for ₹10,000 by A from B at a 10% trade discount and 5% cash discount. A paid immediately.
-
Trade Discount = 10% × ₹10,000 = ₹1,000
-
Invoice Amount = ₹10,000 − ₹1,000
= ₹9,000 -
Cash Discount = 5% × ₹9,000
= ₹450 -
Amount Paid = ₹9,000 − ₹450
= ₹8,550
| Discount Type | In The Books Of | Journal Entry | Debit (₹) | Credit (₹) |
|---|---|---|---|---|
| Trade Discount | A | Purchases A/c Dr. To B’s A/c (Being bought goods from B at 10% trade discount) |
9,000 |
9,000 |
| Trade Discount | B | A’s A/c Dr. To Sales A/c (Being sold goods to A at 10% discount) |
9,000 |
9,000 |
| Cash Discount | A | B’s A/c Dr. To Cash A/c To Discount Received A/c (Being cash paid and discount received) |
9,000 |
8,550 450 |
| Cash Discount | B | Cash A/c Dr. Discount Allowed A/c Dr. To A’s A/c (Being cash received and discount allowed) |
8,550 450 |
9,000 |
