Cash discount is allowed to receive timely payments.

Cash discount means a deduction in payment allowed by a trader to customers when they make payments within a fixed period of times.

Trade discount is allowed to increase the sales volume.

Trade discount means a deduction allowed from the list price, by a trader, to customers, when they make purchases in large quantities.

Discount is the amount which is deducted from the amount due.

Two objectives of accounting are :
(i) To maintain systematic record of business transactions.
(ii) To ascertain profit or loss of the firm.

(i) To keep systematic and complete record of business transactions in books of accounts.
(ii) To ascertain the profit earned or loss incurred during a particular accounting period.
(ill) To ascertain the financial position of the business by means of financial statement.
(iv) To provide useful information to users like owners, investors etc.

Monetary transactions.

Communication of information to the users of accounting is the last step of accounting process.

Recording of transactions in the books of accounts is the first step of accounting process.

Similar business acquired the required building in 2000 for Rs 10,00,000

Paid sons fees from her personal bank account Rs 20,000

Chronological

Monetary

Time-gap

Creditor

Management/Employees

Economic