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Question
What is two column cash book?
Long Answer
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Solution
A two-column cash book is maintained by businesses that give and receive cash discounts. It has two columns on both debit and credit sides: one for cash and one for discount. Discount allowed is recorded on the debit side as an expense, and discount received is on the credit side as income. Cash columns are balanced; discount columns are totaled separately and posted to respective accounts in the ledger.
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