Q
The entry for creating a Provision for bad debts is_____________?
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A
A. Debit provision for bad debts a/c and credit debtors a/c
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B
B. Debit debtors a/c and credit provision for bad debts a/c
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C
C. Debit provision for bad debts a/c and credit profit & loss a/c
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D
D. Debit profit and loss a/c and credit provision for bad debts a/c.
Correct Answer:
D. D. Debit profit and loss a/c and credit provision for bad debts a/c.
