Accounting for IGCSE & O level - Accounting Procedures (Section 19 - No. 25)

What is the accounting treatment for discounts allowed in the sales ledger?

Debit customer's account, Credit the sales discount account

Credit customer's account, Debit the sales discount account

Debit the sales ledger control account, Credit the sales discount account

Credit the sales ledger control account, Debit the sales discount account

Discounts allowed reduce the amount owed by a customer, so their account is credited, and the sales discount account is debited.