📒
The entry for creating a Provision for bad debts is_____________?
Accountingmedium
ADebit Provision for Bad Debts A/c and credit Debtors A/c
BDebit Debtors A/c and credit Provision for Bad Debts A/c
CProvision for bad debt is a charge against profit and therefore, the entry for creating provision for bad debts is done by debiting P&L A/c and crediting provision for bad debts account.
Debit Profit and Loss A/c and credit Provision for Bad Debts A/
Correct Answer: D. Debit Profit and Loss A/c and credit Provision for Bad Debts A/
Related Questions
Accounting
The assets which have some market value are called ____________?
Accounting
Assets having physical existence are called ___________?
Accounting
When owner withdraw cash for its private use, it is called ___________?
Accounting
Building and furniture are called ____________?
Accounting
Which of the following is true about a trial balance?