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Question No 07 Chapter No 14
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Provision for Doubtful debit and for discount on Debtors
7. In a concern, where the current expenditure on repairs is comparatively low it is anticipated that expenditure in subsequent period will be considerable, you find that repair reserve is created and credited every year for Rs 90,000
If the actual repair amounted to Rs 9,000, Rs 21,000 and Rs 33,000 in three years respectively what would be the revenue charges for three respective years.
The solution of Question No 07 Chapter No 14: –
Dr. | Provision for Doubtful Debts A/c | Cr. | |||||
Dat | Particulars | J.F. | Amount | Date | Particulars | J.F. | Amount |
To Bank A/c(repairs) | 9,000 | I | By Balance b/d | 90,000 | |||
By Balance C/d | 81,000 | ||||||
90,000 | 90,000 | ||||||
To Bad debts A/c | 21,000 | II | By Balance b/d | 81,000 | |||
By Profit/Loss A/c | 90,000 | ||||||
By Balance C/d | 1,50,000 | ||||||
1,71,000 | 1,71,000 | ||||||
To Bad debts A/c | 33,000 | III | By Balance b/d | 1,50,000 | |||
By Balance C/d | 2,07,000 | By Profit/Loss A/c | 90,000 | ||||
2,40,000 | 2,40,000 |
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Also, Check out the solved question of all Chapters: –
Usha Publication – Elements of Book-Keeping PSEB (Class 11) – Solution
Chapter No. 2 – Theory Base of Accounting
Chapter No. 3 – Origin of Transactions
Chapter No. 4 – Vouchers and transactions
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Chapter No. 6 – Accounting for Goods and Services Tax(GST)
Chapter No. 9 – Other Subsidiary Books
Chapter No. 10 – Journal Proper
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Chapter No. 11 – Trial Balance
Chapter No. 12 – Bank Reconciliation Statement
Chapter No. 14 – Provisions and Reserves
Chapter No. 15 – Bills of Exchange
Chapter No. 16 – Rectification of Errors
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Chapter No. 17 – Financial Statements – (Without Adjustments)
Chapter No. 18 – Financial Statements – (With Adjustments)
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