Question

Mr. Sajal, a Debtor for Rs. 10,000, 60% amount was paid by him and remaining became Bad Debt. 40% of the Bad debt was recovered after 2 years. What will be the Journal Entry when Final Payment is received? *
a) Cash a/c Dr Rs 6,000 ; Sajal's a/c Cr Rs 6,000
b) Cash a/c Dr Rs 1,600 ; Bad Debt Recovered a/c Cr Rs 1,600
c) Cash a/c Dr Rs 1,600 ; Bad Debt a/c Cr Rs 1,600
d) Cash a/c Dr Rs 4,000 ; Bad Debt Recovered a/c Cr Rs 4,000​

Answer 1

Answer:

option d is the correct answer