bad debts recovered should be credited (1) bad debts recover a/c (2) cash a/c (3) bad debts a/c (4) debtors a/c
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BAD DEBTS RECOVER SHOULD BE CREDITED TO
" BAD DEBTS RECOVER AC "
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Bad debts recovered should be credited in BAD DEBT RECOVER a/c .
Cash a/c is debited in this case.
Bad debt a/c is used when some debtor is declared as insolvent and will not be able to pay the specific amount of money . The money which is not good recovered will be debited in bad debt a/c .
Debtors a/c will be credited only if debtors pay any sum of money.
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