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Provision for debt was to be made equal to debtors meaning |
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Answer» Answer: A provision for doubtful debts was to be MADE equal to 5% of the DEBTORS??? what does it MEAN how to treat this?? ... But now as the adjustment says that provision has to be created and that too up to 5% of debtors (i.e. RS 1,500), so this certainly means that the amount of good debtors has reduced by Rs 1,500. hope it HELPS you
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