Accounting for IGCSE & O level - Accounting Procedures (Section 19 - No. 24)
What is the correct treatment of a discount allowed in the sales ledger control account?
Debit the control account
Credit the control account
No entry in the control account
The discount is only recorded in the customer's account.
Explanation
Discounts allowed decrease the amount owed by customers, so the control account is credited to reflect the decrease.
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