A provision for doubtful debts was to be made equal to 5% of the debtors??? what does it mean how to treat this??balance sheet-asset side- debtors-30,000.
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calculate 5% of 30000
I.e. 1500
deduct 1500 from sundry debtors
as (-) R.D.D. 1500 in inner column and calculate amount un outer column
sundry debtors 30000 |
(-) RDD 1500 | 28500
I.e. 1500
deduct 1500 from sundry debtors
as (-) R.D.D. 1500 in inner column and calculate amount un outer column
sundry debtors 30000 |
(-) RDD 1500 | 28500
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