S1: A triple column cash book has a discount column on both sides. S2: Discount allowed is debited and discount received is credited. Which statement(s) is/are correct? MCQ with Answer and Explanation
S1: A triple column cash book has a discount column on both sides. S2: Discount allowed is debited and discount received is credited. Which statement(s) is/are correct?
A. S2 only
B. Both S1 and S2
C. Neither S1 nor S2
D. S1 only
Answer: Option B
Solution (By JKSSB Mock Tests)
A triple column cash book has cash, bank, and discount columns on both debit and credit sides. Discount allowed (an expense) is recorded on the debit side, and discount received (an income) is recorded on the credit side. Both are correct.
Explanation:
Under Ind AS 116, there is no classification for lessees; all leases are treated as finance leases (right-of-use asset and lease liability). For lessors, classification remains.
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