Question

Trial balance shows debtor of Rs. 10,000, bad debts of Rs. 500. Provision for doubtful debts Rs. 1200. Adjustment shows further bad debts Rs. 600 & new provision for bad & doubtful debts @5%. Amount to be shown on the Debit side of Profit & Loss Account for Bad Debts Adjustment is rs.........​

Answer 1

Answer:

bad debts (trial balance) + bad debts (adjustment) + provision for bad debts (adjustments) - provision for bad debts (tiral balance)

500 + 600 + 470 - 1200

= 370