Use the following information to answer the question below
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
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
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Correct Answer: Option A
Explanation: