[GNC] Use of cash discounts in business account tree

[nisp1953]

On Tue, May 14, 2024 at 10:10 PM Michael or Penny Novack
<stepbystepfarm at comcast.net> wrote:

> The wizard is only a starting point giving an example of TYPICAL
> accounts. There is no guarantee tat the set of accounts would =meet the
> needs of YOUR business. If your business never offered cash discounts,
> then your business wouldn't have that account in its ledger.
>
> Are you saying that you never encountered cash discounts? You never got
> an advertisement from a vendor saying "this week only, 10% discount site
> wide"/

Thank you Michael. I was unsure of how to use this in a double entry account.

WHen I get a discount from a wholesaler, then there is a credit to
Cash discounts,
which is an expense. There is also a corresponding debit to my
checking account.
When I issue a site wide discount there is a debit to the cash
discount but a credit
to the checking account. Am I doing that correctly?