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An extract of Trial balance from the books of Tahiliani and Sons Enterprises on December 31, 2005 is given below Name of AccountDebit Amt. (Rs)Credit Amt. (Rs)Sundry debtors50,000Bad debts6,000Provision for doubtful debts4,000 Additonal Information: 1. Bad debts proved bad but not recorded amounted to Rs. 2,000. 2. Provision is to be maintained at 8 % of Debtors. Give necessary accounting entries for written off the bad debts and creating the provision for doubtful debts account. Also, show the necessary accounts. |
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Answer» An extract of Trial balance from the books of Tahiliani and Sons Enterprises on December 31, 2005 is given below Name of AccountDebit Amt. (Rs)Credit Amt. (Rs)Sundry debtors50,000Bad debts6,000Provision for doubtful debts4,000 Additonal Information: 1. Bad debts proved bad but not recorded amounted to Rs. 2,000. 2. Provision is to be maintained at 8 % of Debtors. Give necessary accounting entries for written off the bad debts and creating the provision for doubtful debts account. Also, show the necessary accounts. |
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