Help with the Purchases Cash Book

System
System Posts: 100,534 🤖 Admin 🤖
edited June 18 in AAT student discussion
Hi <BR><BR>I'm currently trying to complete a practice paper I started a couple of weeks ago, trouble is I'm trying to get it done whilst my youngest is asleep (so time is of the essence), and my other 2 children keep disturbing me!!<BR><BR>It's an easy enough question really, on this particular cash book it needs the total amount, cash settlement discount, and then there are columns for posting to creditors/wages and petty cash.<BR><BR>The original amount of the invoice being paid was £99.13, the discount is £4.25 leaving £94.88 to actually send a cheque for.<BR><BR>Is it correct to assume that the entries are.....<BR><BR>Total £99.13<BR>Discount £4.25<BR>Creditors £94.88<BR><BR>I know I may sound a little thick today, but I would challenge anyone to come into my madhouse today and even be able to remember their names let alone balance accounts!!!!!!!<BR><BR>I appreciate any response.<BR><BR>Cheers guys<BR><BR>Tracy

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  • System
    System Posts: 100,534 🤖 Admin 🤖
    Help with the Purchases Cash Book

    Hi Tracy,<BR><BR>Are you just wanting the double entry?<BR><BR>If so it should be<BR><BR>Total invoice amount to be paid £99.13<BR>Discounts received £4.25<BR><BR>DR Creditor £99.13<BR> CR Bank £94.88<BR> CR Discounts received £ 4.25<BR><BR>If you debit the creditors with just £94.88 then the creditors account will still show a credit entry of £4.25 outstanding.<BR><BR>Hope that helps
  • System
    System Posts: 100,534 🤖 Admin 🤖
    Help with the Purchases Cash Book

    Thanks Dawn<BR><BR>Thats great, I'll be able to complete my homework tonight now, lucky me!!!<BR><BR>Tracy

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