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On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.?
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On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjec...
Journal Entries in the Books of Rohan:
- On 1st Oct 2017:
- Accounts Receivable (Sohan) Dr. Rs. 9,000
- Sales Dr. Rs. 10,000
- To Goods Sold Rs. 10,000
- On 1st Nov 2017:
- Cash Dr. Rs. 4,000
- Bills Receivable (Sohan) Dr. Rs. 6,800
- Rebate Earned Dr. Rs. 200
- To Bills Receivable (Sohan) Rs. 7,000
- On the due date:
- Bills Receivable (Sohan) Dr. Rs. 7,000
- Interest Income Dr. Rs. 40
- To Cash Rs. 7,140

Journal Entries in the Books of Sohan:
- On 1st Oct 2017:
- Purchases Dr. Rs. 10,000
- Trade Discount Dr. Rs. 1,000
- To Accounts Payable (Rohan) Rs. 10,000
- On 1st Nov 2017:
- Bills Payable (Rohan) Dr. Rs. 6,800
- Rebate Allowed Rs. 200
- To Cash Rs. 7,000
- On the due date:
- Cash Dr. Rs. 7,140
- Bills Payable (Rohan) Rs. 7,000
- Interest Expense Rs. 140
Explanation:
- Initially, Rohan sells goods to Sohan with a trade discount of 10% and draws a bill for 3 months.
- On 1st Nov, they mutually agree to settle the bill by paying Rs. 4,000 and drawing a new bill with a rebate of Rs. 200 at 10% p.a.
- The new bill is accepted for two months at 10% interest and is honored on the due date.
- The journal entries in Rohan's books reflect the sales, receipt of payment, and the settlement of the new bill.
- The journal entries in Sohan's books show the purchase, the payment made, and the final settlement of the bill with interest expense.
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On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.?
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On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? for UPSC 2024 is part of UPSC preparation. The Question and answers have been prepared according to the UPSC exam syllabus. Information about On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? covers all topics & solutions for UPSC 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.?.
Solutions for On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? in English & in Hindi are available as part of our courses for UPSC. Download more important topics, notes, lectures and mock test series for UPSC Exam by signing up for free.
Here you can find the meaning of On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? defined & explained in the simplest way possible. Besides giving the explanation of On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.?, a detailed solution for On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? has been provided alongside types of On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? theory, EduRev gives you an ample number of questions to practice On 1st Oct 2017, Rohan sold goods to Sohan priced at Rs. 10,000 subjected to a deduction of 10% trade discount and drew a bill on Sohan for 3 months. Sohan accepted the same. On 1st Nov 2017, Rohan and Sohan on a mutual understanding discharge the bill on payment of Rs. 4,000 and new bill will earn a rebate of Rs. 200 @10% discount p.a. The new bill is accepted for two months at 10% interest. The new bill is honoured on the due date. Pass journal entries in the books of Rohan and Sohan.? tests, examples and also practice UPSC tests.
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