Question

Sundry debtors rupees 40000.

As regard debtors it is ascertain that rupees 1000 are irrecoverable and they provision of 2% is to be created on sundry debtors.

* how to calculate sundry debtors on statement of affairs on closing capital

Answer 1

Answer:

40,000 minus 1000

and then 2 percent of 39,000 will be Provision for bad and doubtful debts