Provision for doubtful debts------1,000Cr
Bad debts--------500Dr
Debtors-------50,000Dr
Additional bad debts to be written off-----500
New provision for doubtful debts to stand at 5% of debtors
The provision for doubtful debts to be charged to the Profit and Loss Account is
Le 2,500
Le 2,475
Le 2,450
Le 1,000
Correct answer is A
No explanation has been provided for this answer.