Accounting for Merchandising operation

[@Danieldg2Daniman]

thank you sir go ahead
I appreciate you
you expressed it well

[@AccountingLectures]

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[@xstaycreepyx7270]

Thank you!

[@AccountingLectures]

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[@RustamKhan7.7.7]

thank you sir🥰

[@AccountingLectures]

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[@hosom436]

Hi sir
What if after
Debit merchandise inventory 600
Credit accounts payable 600
Next day I sold all my inventory and during 10 days from my purchase I paid my account payable and earned discount.
How do I earn that discount?
Debit account payable 600
Credit cost of goods sold 12 ???
Credit cash 588

[@aquariiusc]

Debit: Accounts Payable $600
Credit: Purchase Discounts $12
Credit: Cash $588

[@saniarahim3201]

Helped me alot.
Tysm🤍

[@AccountingLectures]

Most welcome. Visit the website for more: farhatlectures.com/