Question

Question

Answer 1

Commission can be an expense as well as an income. So, when commission is paid, it is shown on the debit side of the Commission Account while commission received (being an income) will be shown on the credit side of the Commission Account.

Commission Account
Dr.			Cr.
Particulars	Amount (Rs)	Particulars		Amount (Rs)
Record Expenses on this side-		Record Income on this side-
2. Commission Paid	2,000	1. Commission Received		5,000
		3. Commission Received		1,500
Total	2,000	Total		6,500
Balance	4,500
	6,500			6,500