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Rectification of error
Accountancy
A bad debt of 1,560 had not been written off and provision for doubtful debts should have been maintained at 10% of Trade receivables which are shown in the trial balance at 23,390 with a credit provision for bad debts at â?¹2,320. Plz explain.
Answers (3)
Amount of bad debt = Rs.1560 (Given) Trade receivables = 10% (Given) Trial balance = Rs.23390 (Given) Provision for bad debts = Rs.2320 (Given) Journal entry - Provision for bad debts Dr. To Bad debts Cr. Provision for bad debts = Rs.23390 - Rs.1560 = Rs.21830 Amount of debtors provision = 10% of Rs.21830 = Rs.2183 Balance in the provision account after writing off = Rs.2320 - Rs.2183 = Rs.137 The provision amount will be = Rs.2183 â?? Rs.137 = Rs.2046
Madhuri Veluri
Amount of bad debt = Rs.1560 (Given) Trade receivables = 10% (Given) Trial balance = Rs.23390 (Given) Provision for bad debts = Rs.2320 (Given) Journal entry - Provision for bad debts Dr. To Bad debts Cr. Provision for bad debts = Rs.23390 - Rs.1560 = Rs.21830 Amount of debtors provision = 10% of Rs.21830 = Rs.2183 Balance in the provision account after writing off = Rs.2320 - Rs.2183 = Rs.137 The provision amount will be = Rs.2183 â?? Rs.137 = Rs.2046
Hello Mam. Will the CA Foundation exams be postponed?Because the situation at our region is worse.
Sonu R
Hello Mam. Will the CA Foundation exams be postponed?Because the situation at our region is worse.
Will not be postponed until the institute takes a call.
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