Discount received totals the credit side column in a cash book

Steps:

• Debit side discount column records discounts allowed by the trader to customers ($300).
• Credit side discount column records discounts received by the trader from suppliers ($700).
• The question asks for discount the trader received, which is the credit side total.
• Thus, discount received is $700.

Why B is correct:

• Per double-entry bookkeeping, discounts received are credited in the cash book, so the $700 credit total directly measures what the trader received.

Why the others are wrong:

• A: Incorrectly subtracts debit from credit ($700 -$300 = $400, but not$600; ignores received definition).
• C: Wrongly adds both sides ($300 +$700 = $1,000, but not$1,300; confuses allowed and received).

Final answer: B