on dissolution bills payable of rupees 40,000 due after 1 month were discharge at a discount of 18 % per annum realisation account is to be debited with
a)32,600 b) 39,400 c)39,600

Question

on dissolution bills payable of rupees 40,000 due after 1 month
were discharge at a discount of 18 % per annum realisation account
is to be debited with
a)32,600 b) 39,400 c)39,600

Prakash · Answer

Amount Payable = 40000
Less: Discount = 40000x18%x1/12 = 600

Net=39400

on dissolution bills payable of rupees 40,000 due after 1 month were discharge at a discount of 18 % per annum realisation account is to be debited with a)32,600 b) 39,400 c)39,600

on dissolution bills payable of rupees 40,000 due after 1 month were discharge at a discount of 18 % per annum realisation account is to be debited with
a)32,600 b) 39,400 c)39,600