Discount given by the foreign parties


This query is : Resolved 

Quick Summary
This discussion clarifies how to account for discounts offered by foreign parties on invoices. The consensus is that if an invoice is for Rs. 110 with a Rs. 10 discount, you should record the item value at Rs. 100 multiplied by the conversion rate, and the Rs. 10 as a discount received. Failing to record the discount separately will not cause any accounting problems.

09 June 2021 Sir If The Invoice Was Rs. 110 and the party given discount of Rs. 10. But in BOE item value shown as on Rs. 110

1.Then Whether I should record as 110* Conversion rate
2. Or Should record 100* conversion rate and Rs. 10 as discount recived

09 June 2021 Record 100* conversion rate and Rs. 10 as discount recived


09 June 2021 Sir If I Record as 100* conversion rates.
And if i does nor record Discount received for 10 then any problem would be arise or not?

09 June 2021 No problem will arise.

10 June 2021 Sie Im little confused. Is it No Problem or Yes Probelm will arise.

10 June 2021 It's no problem.............

10 June 2021 Thank u very much sir.


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