Alaka who owed Saka N15,000, settled his debt after deducting cash discount of 10%. To record the discount in the book of Saka, debit
A. Saka's account and credit discount received account B. Alaka's account and credit discount received account C. Discount received account and credit Alaka's account D. Discount allowed account and credit Alaka's account
Correct Answer: A
Explanation
Alaka is a debtor to saka we therefore debit saka's cash account and credit allowed account