Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts.
Prepare:
a) Journal entries to record bad debts written off
b) Bad debts account
c) Income statement extract

Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts.
Prepare:
a) Journal entries to record bad debts written off
b) Bad debts account
c) Income statement extract

Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts.
Prepare:
a) Journal entries to record bad debts written off
b) Bad debts account and Income statement extract
Business has the following information on 31 December 2015.
$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts.
Prepare:
d) Journal entries to record bad debts written off
e) Bad debts account
f) Income statement extract

Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts.
Prepare:
d) Journal entries to record bad debts written off
e) Bad debts account
f) Income statement extract

Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts.
Prepare:
c) Journal entries to record bad debts written off
d) Bad debts account and Income statement extract
Business has the following information on 31 December 2015.
$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts. Business
provide provision for doubtful debts of 5% on REMAINING trade receivables. On
1 January provision for doubtful debts amounted was $1000.
Prepare:
a) Journal entries to record bad debts written off and provision for doubtful
debts maintained
b) Bad debts account and Prov. for doubtful debts
c) Income statement extract and statement of financial position extract

Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts. Business
provide provision for doubtful debts of 5% on REMAINING trade receivables. On
1 January provision for doubtful debts amounted was $1000.
Prepare:
a) Journal entries to record bad debts written off and provision for doubtful
debts maintained
b) Bad debts account and Prov. for doubtful debts
c) Income statement extract and statement of financial position extract
Business has the following information on 31 December 2015.
$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts. Business
provide provision for doubtful debts of 5% on REMAINING trade receivables. On
1 January provision for doubtful debts amounted was $1000.
Prepare:
d) Journal entries to record bad debts written off and provision for doubtful
debts maintained
e) Bad debts account and Prov. for doubtful debts
f) Income statement extract and statement of financial position extract

Business has the following information on 31 December 2015.

$
Shiyam 20 000
Sunil 50 000
Nihal 30 000
On 31 December Nihal informed he is bankrupt. He agreed to pay $2 000, in full
settlement and remaining amount will be written off as bad debts. Business
provide provision for doubtful debts of 5% on REMAINING trade receivables. On
1 January provision for doubtful debts amounted was $1000.
Prepare:
d) Journal entries to record bad debts written off and provision for doubtful
debts maintained
e) Bad debts account and Prov. for doubtful debts
f) Income statement extract and statement of financial position extract