purchases discounts

Where Does Discount Allowed Come In Final Accounts?

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Where Does Discount Allowed Come In Final Accounts? Discount allowed acts as an additional expense for the business and it is shown on the debit side of a profit and loss account. Where does discount comes in final account? Cash discounts will go under Debit in the Profit and Loss account. Trade discounts are not

What Is The Normal Balance Of The Purchases Discounts Account?

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What Is The Normal Balance Of The Purchases Discounts Account? Purchase Discounts and Purchase Returns and Allowances (which are contra accounts to Purchases) are expected to have credit balances. A general rule is that asset accounts will normally have debit balances. Liability and stockholders’ equity accounts will normally have credit balances. What is the normal