When the account of the debtor has been closed, what do you with cash book?
Debited
Credited
Not recorded
Neither debited nor credited
At the end of the year, bad debts recovered account is transferred to the bad debts account. This will be:
Loss of the year
Reduces the bad debts written off during the year
Not affect at all
Increases the profit
The amount of bad debts is:
Profit
Income
Expenditure
Loss
A bad debt is:
Gain
The bad debt is treated in profit and loss account as:
Expense
Out of this, which principle is followed in case of provision for doubtful debts?
Matching principle
Historical principle
Disclosure principle
Revenue recognition principle
The amount owing to a business which is not paid by the debtor.
Bad debt
Credit
Gains
Where will you show new bad debts and new provision for bad debts?
Debit side of profit and loss account
Credit side of profit and loss account
Trial balance
Liability side of balance sheet
Which word is used as no individual names, dates and amount details have been provided?
Bad debts
Debtors written off
Unpaid amount
The concession allowed, when debtors make immediate payment is known as:
Provision
Discount
New provision
