A civil work bill of RS 100,000 was settled for RS 95,000 as full and final payment. The query asks how to journalise this difference, specifically if it should be treated as a discount received. A key point is that TDS was already deposited on the original RS 100,000 amount.
20 December 2023
A civil work bill raised amounting of RS 100000/- but the bill was settled for Rs 950000 as Full and final payment. shall the difference amount shown as discount received. What is the journal entries