Question

Provision for Doubtful Debt on 1st April, 2018 was ` 21,500. During the year 2018 –

19 the Bad-debt and Recovery of Bad-debt were ` 10,500 and ` 2,100

respectively. The Sundry Debtors on 31st March, 2019 were ` 2,25,000. Provision is

to be made @ 5% on Debtors. If on 31st March, 2019, there was additional Bad-

debt of ` 2,500 then Provision for doubtful-debt will be

(A) debited to Profit & Loss Account by ` 11,250.

(B) debited to Profit & Loss Account by ` 2,625.

(C) debited to Profit & Loss Account by ` 3,000.

(D) debited to Profit & Loss Account by ` 900. ​

Answer 1

Answer: a is  the answer

Explanation:

Answer 2

Answer:

option B  debited to Profit & Loss Account by 2,625

Explanation: