Question

Kartik rupees 1700 become insolvent received from the official receiver a settlement of 75 paise in the Rupee​

Answer 1

Cash A/c - - - - - Dr. 1275

Bad debts A/c. - - - - - Dr. 425

To Kartik's A/c 1700

( Being 75% received from Kartik and the balance treated as bad debts)